The London Company Mid Cap Strategy Exited Crown Castle (CCI) for Higher-Conviction Ideas

The London Company, an investment management company, released its fourth-quarter 2025 investor letter for its “The London Company Mid Cap Strategy”. A copy of the letter can be downloaded here. In Q4 2025, US equities posted the third consecutive quarter of higher returns, with the Russell 3000 Index rising 2.4%. The market highlighted how investors balanced the optimism on earnings growth and concerns regarding AI returns and cooling macroeconomic factors. In the quarter, the portfolio returned 3.2% (3.0% net) compared to a 0.2% increase in the Russell Midcap Index. Both stock selection and sector exposure contributed to the relative performance of the portfolio in the quarter. In addition, please check the Strategy’s top five holdings to know its best picks in 2025.

In its fourth-quarter 2025 investor letter, London Company Mid Cap Strategy highlighted stocks like Crown Castle Inc. (NYSE:CCI). Crown Castle Inc. (NYSE:CCI) is a real estate investment trust that focuses on communication infrastructure. On February 24, 2026, Crown Castle Inc. (NYSE:CCI) stock closed at $88.64 per share. One-month return of Crown Castle Inc. (NYSE:CCI) was 4.42%, and its shares lost 3.26% over the past 52 weeks. Crown Castle Inc. (NYSE:CCI) has a market capitalization of around $38.601 billion.

London Company Mid Cap Strategy stated the following regarding Crown Castle Inc. (NYSE:CCI) in its fourth quarter 2025 investor letter:

"Exited: Crown Castle Inc. (NYSE:CCI) – We exited CCI to reallocate capital to higher-conviction ideas. We still own CCI in the Income Equity portfolio given the attractive underlying fundamentals of the industry and healthy dividend yield. The separation of the fiber/small-cell businesses has improved investor clarity around the core pure-play tower asset, though slower carrier CapEx spending is likely to keep near-term expectations muted. While DISH-related issues may create some earnings noise, it does not fundamentally alter the durability of the business. We would be open to re-initiating a position should a clearer catalyst emerge."

Crown Castle Inc. (NYSE:CCI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 55 hedge fund portfolios held Crown Castle Inc. (NYSE:CCI) at the end of the fourth quarter, compared to 56 in the previous quarter. While we acknowledge the potential of Crown Castle Inc. (NYSE:CCI) 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 Crown Castle Inc. (NYSE:CCI) and shared a list of best real estate stocks to buy according to hedge funds. 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.