Here's What Accelerated Construction Partners' (ROAD) Revenue Growth

Loomis Sayles, an investment management company, released its “Small Cap Growth Fund” investor letter for the second quarter of 2025. A copy of the letter can be downloaded here. The second quarter started with significant volatility but concluded at an all-time high for the S&P 500. The fund returned 9.37%, underperforming the Russell 2000 Growth Index's 11.97% return due to security selection within the information technology and financial sectors.  In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, Loomis Sayles Small Cap Growth Fund highlighted stocks such as Construction Partners, Inc. (NASDAQ:ROAD). Construction Partners, Inc. (NASDAQ:ROAD) is a civil infrastructure company that constructs and maintains roadways. The one-month return of Construction Partners, Inc. (NASDAQ:ROAD) was 6.04%, and its shares gained 82.15% of their value over the last 52 weeks. On September 29, 2025, Construction Partners, Inc. (NASDAQ:ROAD) stock closed at $127.14 per share, with a market capitalization of $7.18 billion.

Loomis Sayles Small Cap Growth Fund stated the following regarding Construction Partners, Inc. (NASDAQ:ROAD) in its second quarter 2025 investor letter:

"Construction Partners, Inc. (NASDAQ:ROAD) provides road building and paving services in the south/southeast region of the country. The company has been able to grow revenue in the mid-teens range through a combination of organic growth and M&A. This name outperformed during the quarter with a large M&A deal in Texas as well as other deals in existing markets that have accelerated revenue growth, all of which have led to higher revisions."

Construction Partners, Inc. (NASDAQ:ROAD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 27 hedge fund portfolios held Construction Partners, Inc. (NASDAQ:ROAD) at the end of the second quarter, which was 15 in the previous quarter. Construction Partners, Inc.’s (NASDAQ:ROAD) revenue was $779.3 million in fiscal Q3 2025, marking an increase of 51% compared fiscal Q3 2024. While we acknowledge the potential of Construction Partners, Inc. (NASDAQ:ROAD) 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 another article, we covered Construction Partners, Inc. (NASDAQ:ROAD) and shared TimesSquare Capital U.S. Focus Growth Strategy's views on the company. In addition, please check out our hedge fund investor letters Q2 2025 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.