Is Equitable Holdings (EQH) an Undervalued Stock?

Core Insights - Diamond Hill Capital's "Large Cap Fund" underperformed the Russell 1000 Value Index in Q3 2025 despite the overall market rally, with the Russell 3000 Index gaining 8% and calendar-year returns exceeding 14% [1][2] Company Overview - Equitable Holdings, Inc. (NYSE:EQH) is highlighted as a leading diversified financial services company, with a one-month return of -4.28% and a 52-week loss of 9.67%, closing at $45.22 per share on November 5, 2025, and a market capitalization of $14.584 billion [2][3] Investment Strategy - The fund initiated four new positions in Q3 2025, including Equitable Holdings, indicating a belief that its stock price does not reflect its long-term growth potential [3] Hedge Fund Interest - Equitable Holdings, Inc. was held by 42 hedge fund portfolios at the end of Q2 2025, a decrease from 49 in the previous quarter, suggesting a decline in popularity among hedge funds [4] Comparative Analysis - While acknowledging the potential of Equitable Holdings, the company believes that certain AI stocks present greater upside potential and lower downside risk, indicating a shift in investment focus [4]