Core Insights - Tsai Capital Corporation's Growth Equity Strategy achieved an 8.5% gain before fees and 7.6% after fees for the year ending December 31, 2025, underperforming the S&P 500 Index's 17.9% return [1] - Since its inception 26 years ago, the strategy has gained 970% cumulatively before fees and 658% after fees, compared to the S&P 500 Index's total return of 639% [1] - The strategy focuses on long-term investments in exceptional companies that effectively allocate capital towards promising ideas and talent, currently holding 17 high-quality growth companies [1] Company Highlights - QXO, Inc. (NYSE:QXO) is a roofing, waterproofing, and building products distributor, with a one-month return of 20.48% and a 52-week gain of 73.17% [2] - As of November 12, 2025, QXO, Inc. closed at $23.24 per share, with a market capitalization of $16.412 billion [2] - Tsai Capital initiated a position in QXO in 2024 at approximately $11 per share, under the leadership of Brad Jacobs, who aims to disrupt the $800 billion building products distribution industry [3] Investment Sentiment - QXO, Inc. is not among the 30 most popular stocks among hedge funds, with 65 hedge fund portfolios holding the stock at the end of the third quarter, unchanged from the previous quarter [4] - While QXO is recognized for its potential, the company believes certain AI stocks present greater upside potential and less downside risk [4]
Tsai Capital’s Views on QXO (QXO)