Here's What Hurt Stevanato Group SpA (STVN) in Q4

Conestoga Capital Advisors, an asset management company, released its fourth-quarter 2025 investor letter. As many believe, US equities experienced solid returns in 2025, with double-digit gains across all major indices, yet underlying conditions revealed extreme volatility and market leadership. A copy of the letter can be downloaded here. In Q4 2025, Conestoga Capital Advisors Small Cap Strategy returned -1.89% net-of-fees, trailing the Russell 2000 Growth Index’s 1.22% return. The returns were volatile in the quarter. The “low quality” stocks rally persisted in the quarter, but at a slower pace compared to earlier quarters. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.

In its fourth-quarter 2025 investor letter, Conestoga Capital Advisors highlighted stocks like Stevanato Group S.p.A. (NYSE:STVN). Stevanato Group S.p.A. (NYSE:STVN) designs and distributes products and processes to offer integrated solutions for the biopharma and healthcare industries. On February 18, 2026, Stevanato Group S.p.A. (NYSE:STVN) stock closed at $16.23 per share. One-month return of Stevanato Group S.p.A. (NYSE:STVN) was -15.29%, and its shares are lots 20.71% over the past twelve months. Stevanato Group S.p.A. (NYSE:STVN) has a market capitalization of $4.431 billion.

Conestoga Capital Advisors stated the following regarding Stevanato Group S.p.A. (NYSE:STVN) in its fourth quarter 2025 investor letter:

"Stevanato Group S.p.A. (NYSE:STVN) is a global provider of high-performance drug containment and delivery solutions for the pharmaceutical industry. The stock underperformed during the quarter, pressured by two key factors. First, the company’s engineering segment reported a 20% decline in revenue. Although the segment represents only about 15% of total revenue, its turnaround has taken longer than anticipated, weighing on overall results. Second, investor concerns have grown around the potential impact of FDA approval and the introduction of oral GLP-1 therapies. Given STVN’s focus on injectable drug delivery, uncertainty regarding the eventual market share of oral alternatives within the broader GLP-1 category has created near-term uncertainty."

Stevanato Group S.p.A. (NYSE:STVN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 13 hedge fund portfolios held Stevanato Group S.p.A. (NYSE:STVN) at the end of the third quarter, up from 8 in the previous quarter. In Q3 2025, Stevanato Group S.p.A.’s (NYSE:STVN) revenue grew 9% year-over-year to $303.2 million. While we acknowledge the potential of Stevanato Group S.p.A. (NYSE:STVN) 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 Stevanato Group S.p.A. (NYSE:STVN) and shared Alger Small Cap Focus Fund's views on the company. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.

READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.

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