Diamond Hill Stays Focused on Silvercrest (SAMG) Despite Profitability Pressures

Diamond Hill Stays Focused on Silvercrest (SAMG) Despite Profitability Pressures

Fri, September 4, 2026 at 5:29 PM GMT+3 3 min read

Diamond Hill Capital, a First Eagle Investment Management company, issued its Q2 2026 investor letter for its "Small Cap Strategy". The letter can be downloaded here. The strategy returned 24.01% in the second quarter, outperforming the Russell 2000 Index's 21.49% return. Performance was positively affected by stock selection in health care and industrials, while the Fund's underweight position in information technology was the largest relative detractor as AI-related companies drove market gains. Small-cap equities benefited from strong earnings, resilient economic conditions, and easing geopolitical concerns, with technology leading sector performance while energy declined alongside lower oil prices. Despite the market's focus on AI, the Fund's strongest contributors came from businesses outside the theme, particularly in health care, defense-oriented companies, and tangible-asset industries. Looking ahead, the Fund remains focused on resilient, underfollowed companies tied to infrastructure, defense modernization, and essential industries where disciplined capital allocation and long-term demand can support value creation. Also, check the fund's top five holdings to see its best picks in 2026.

In its second-quarter 2026 investor letter, Diamond Hill Capital Small Cap Strategy highlighted Silvercrest Asset Management Group Inc. (NASDAQ:SAMG). Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) is a wealth management firm that provides financial advisory and related family office services. On September 03, 2026, Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) closed at $9.98 per share. Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) declined 1.58% and its shares lost 37.97% over the past 52 weeks. Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) has a market capitalization of $118.24 million with a 52-week trading range between $9.57 and $16.56.

Diamond Hill Capital Small Cap Strategy stated the following regarding Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) in its Q2 2026 investor letter:

"Silvercrest Asset Management Group Inc. (NASDAQ:SAMG), an independent asset manager serving high-net worth families and institutional investors, saw shares decline as continued client outflows and elevated compensation costs weighed on profitability and overshadowed the company's strong long-term investment performance and efforts to expand its institutional business."

Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 7 hedge fund portfolios held Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) at the end of the second quarter which was 8 in the previous quarter. While we acknowledge the potential of Silvercrest Asset Management Group Inc. (NASDAQ:SAMG) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In addition, please check out our hedge fund investor letters Q2 2026 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.