StubHub Holdings (STUB) Fell Following the IPO

Baron Funds, an investment management company, released its “Baron Asset Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. US equities continued the previous quarter's rally in the third quarter of 2025. The expectation of the Federal Reserve (the Fed) to cut interest rates was the primary driver behind the market rally. In the third quarter, the fund declined 4.23% (Institutional Shares) compared to 2.78% for the Russell Midcap Growth Index and an 8.18% return for the Russell 3000 Index. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Baron Asset Fund highlighted stocks such as StubHub Holdings, Inc. (NYSE:STUB). StubHub Holdings, Inc. (NYSE:STUB) is a leading ticket operating platform. The one-month return of StubHub Holdings, Inc. (NYSE:STUB) was -0.87%. On November 7, 2025, StubHub Holdings, Inc. (NYSE:STUB) stock closed at $19.44 per share, with a market capitalization of $7.15 billion.

Baron Asset Fund stated the following regarding StubHub Holdings, Inc. (NYSE:STUB) in its third quarter 2025 investor letter:

"StubHub Holdings, Inc. (NYSE:STUB), the leading marketplace for the resale of live event tickets, detracted from performance following its September IPO. The company has been investing heavily both to expand its market share and to develop its capabilities to sell tickets in the primary market - tickets sold directly by sports teams to fans. Its near-term results were also affected by challenging annual revenue comparisons after the outsized success of Taylor Swift tour ticket sales last year. Despite these temporary headwinds, we remain optimistic that StubHub’s revenue growth and profitability are poised to accelerate meaningfully."

StubHub Holdings, Inc. (NYSE:STUB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. While we acknowledge the potential of StubHub Holdings, Inc. (NYSE:STUB) 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 StubHub Holdings, Inc. (NYSE:STUB) and shared the list of stocks Jim Cramer discussed recently. In addition, please check out our hedge fund investor letters Q3 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.