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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 General Mills, Inc. (NYSE:GIS). General Mills, Inc. (NYSE:GIS) is a global manufacturer of branded consumer foods. The one-month return of General Mills, Inc. (NYSE:GIS) was -7.63%, and its shares lost 22.85% of their value over the last 52 weeks. On May 9, 2025, General Mills, Inc. (NYSE:GIS) stock closed at $54.50 per share with a market capitalization of $29.844 billion.
Diamond Hill Large Cap Fund stated the following regarding General Mills, Inc. (NYSE:GIS) in its Q1 2025 investor letter:
"As volatility picked up sharply in the quarter, we were active in the portfolio — and we anticipate that as volatility continues into Q2, we will likewise attempt to capitalize on compelling opportunities to reposition the portfolio for the period ahead. In addition to Capital One, among the new positions we initiated in Q1 were MetLife and General Mills, Inc. (NYSE:GIS).
A worker in a production facility packaging arbitrary food products, reflecting the company's commitment to comprehensive production standards.
General Mills, Inc. (NYSE:GIS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 49 hedge fund portfolios held General Mills, Inc. (NYSE:GIS) at the end of the fourth quarter which was 30 in the previous quarter. While we acknowledge the potential of General Mills, Inc. (NYSE:GIS) 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.
