Mar Vista Investment Partners, LLC, an investment management firm, released its Q3 2025 Investor Letter “Mar Vista US Quality Premier Strategy.” A copy of the letter can be downloaded here. The third quarter was an exceptional period for US stocks, driven by optimism over the Federal Reserve’s dovish turn and the ongoing rise of artificial intelligence (AI). The S&P 500® Index and Nasdaq Composite surged, representing technology’s relentless momentum. During the quarter, the strategy returned +6.41% net of fees, compared to +8.00% and +8.12% for the Russell 1000 Index and S&P 500 Index, respectively. Additionally, please see the fund’s top five holdings for its top picks in 2025.
In its third quarter 2025 investor letter, Mar Vista US Quality Premier Strategy highlighted stocks such as NVIDIA Corporation (NASDAQ:NVDA). NVIDIA Corporation (NASDAQ:NVDA) provides graphics, computing and networking solutions. NVIDIA Corporation’s (NASDAQ:NVDA) one-month return was 6.74% and its shares have gained 40.28% of their value over the past 52 weeks. On October 8, 2025, NVIDIA Corporation (NASDAQ: NVDA) stock closed at $189.11 per share, with a market cap of $4.604 trillion.
Mar Vista US Quality Premier Strategy stated the following regarding NVIDIA Corporation (NASDAQ: NVDA) in its Q3 2025 Investor Letter:
“NVIDIA Company (NASDAQ: NVDA) continues to benefit from the development of AI infrastructure as large-scale technology companies turn to artificial general intelligence. Demand for the company’s next-generation Blackwell platform remains strong, driven by the increasing complexity of large language models and the rise of reasoning-based applications. As CEO Jensen Huang pointed out, reasoning tasks can require up to ten times more computing power than training a large conventional language model. While the AI market is still in the early stages of a multi-year investment cycle, NVIDIA is well-positioned to generate substantial value as the industry standard in accelerated computing. »
NVIDIA Corporation (NASDAQ:NVDA) ranks 5th on our list of the 30 most popular stocks among hedge funds. According to our database, 235 hedge fund portfolios held NVIDIA Corporation (NASDAQ:NVDA) at the end of the second quarter, up from 212 in the previous quarter. In the second quarter of fiscal 2026, NVIDIA Corporation (NASDAQ:NVDA) reported revenue of $46.7 billion, beating expectations. While we recognize the potential of NVIDIA Corporation (NASDAQ:NVDA) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for a hugely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the reshoring trend, check out our free report on the best AI stock in the short term.
