Diamond Hill Capital, an investment management company, released its “Large Cap Fund” first-quarter 2025 investor letter. A copy of the letter can be downloaded here. Markets exhibited a mixed performance in Q1 as the new presidential administration generated significant buzz with a flurry of actions, leaving investors uncertain about the future direction. The portfolio trailed the Russell 1000 Value Index benchmark in Q1. The strategy returned 1.36% (net) vs 2.14% returns for the index. To get an idea of the fund’s best choices for 2025, check out its top 5 positions.
In its first-quarter 2025 investor letter, Diamond Hill Large Cap Fund highlighted stocks such as Abbott Laboratories (NYSE:ABT). Abbott Laboratories (NYSE:ABT) is a leading manufacturer of health care products. The one-month return of Abbott Laboratories (NYSE:ABT) was 5.01%, and its shares gained 27.21% of their value over the last 52 weeks. On May 9, 2025, Abbott Laboratories (NYSE:ABT) stock closed at $133.24 per share with a market capitalization of $231.816 billion.
Diamond Hill Large Cap Fund stated the following regarding Abbott Laboratories (NYSE:ABT) in its Q1 2025 investor letter:
“Among our top individual contributors in Q1 were American International Group (AIG) and Abbott Laboratories (NYSE:ABT). Health care products manufacturer Abbott Laboratories is executing well, capitalizing on its diverse mix of businesses to drive growth. In Q1, the company announced European approval (CE Mark) for its Volt Pulse Field Ablation (PFA) system, which is designed to provide a new therapy option for people battling heart rhythm disorders such as atrial fibrillation.”
An operating room with a doctor monitoring a patient’s vital signs during surgery with a medical device.
Abbott Laboratories (NYSE:ABT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 66 hedge fund portfolios held Abbott Laboratories (NYSE:ABT) at the end of the fourth quarter, compared to 63 in the third quarter. While we acknowledge the potential of Abbott Laboratories (NYSE:ABT) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we covered Abbott Laboratories (NYSE:ABT) and shared Mairs & Power Balanced Fund’s views on the company. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors.
