What Makes MVB Financial (MVBF) a Good Long-Term Bet?

Diamond Hill Capital, an investment management company, released its “Small Cap Strategy” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The fourth quarter posted another period of favorable gains for equity markets, with the Russell 2000 Index returning 2.19%, roughly in line with the Russell 1000 Index’s 2.41% gain. Health care (+18.6%) emerged as the best-performing sector in the Russell 2000 Index. Heightened uncertainty and geopolitical risks contributed to a mixed market environment in 2025 and Q4, yet the Russell 2000 Index still posted a 12.81% gain for the year. Heading into 2026, the firm continues to focus on resilient businesses that can sustain earnings in a volatile landscape. The Strategy returned 4.88% (net of fees) in the quarter compared to the Russell 2000 Index’s 2.19% gain. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.

In its fourth-quarter 2025 investor letter, Diamond Hill Small Cap Strategy highlighted stocks such as MVB Financial Corp. (NASDAQ:MVBF). MVB Financial Corp. (NASDAQ:MVBF) is a bank holding company for MVB Bank, Inc, that offers financial services to individuals and corporate clients. On February 4, 2026, MVB Financial Corp. (NASDAQ:MVBF) stock closed at $28.72 per share. MVB Financial Corp. (NASDAQ:MVBF) delivered a 9.91% return in the past month, and its shares are up 46.16% over the past twelve months. MVB Financial Corp. (NASDAQ:MVBF) has a market capitalization of $365.376 million.

Diamond Hill Small Cap Strategy stated the following regarding MVB Financial Corp. (NASDAQ:MVBF) in its fourth quarter 2025 investor letter:

"MVB Financial Corp. (NASDAQ:MVBF) is a banking-as-a-service (BaaS) provider with a five-branch community banking franchise in West Virginia. Following headwinds that stifled growth for fintech-focused banks and broader industry challenges over the last few years, MVB now has a rich pipeline of fintech partners that should support growth long term."

MVB Financial Corp. (NASDAQ:MVBF) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 6 hedge fund portfolios held MVB Financial Corp. (NASDAQ:MVBF) at the end of the third quarter, up from 5 in the previous quarter. While we acknowledge the potential of MVB Financial Corp. (NASDAQ:MVBF) 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 Q4 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.