Artisan Mid Cap Fund Sold Snowflake (SNOW) Due to Elevated Valuation

Core Insights - Artisan Mid Cap Fund's fourth-quarter 2025 investor letter highlights the performance of the fund and its investment strategy focusing on companies with strong earnings and franchise characteristics [1] - The fund's Investor Class, ARTMX, delivered a return of -0.44%, while the Advisor Class, APDMX, and Institutional Class, APHMX, returned -0.37% and -0.35% respectively, compared to a -3.70% return for the Russell Midcap® Growth Index [1] - Continued strength in information technology and health care sectors contributed positively to the fund's performance during the quarter [1] Company Focus: Snowflake Inc. - Snowflake Inc. (NYSE:SNOW) is identified as a significant stock in the fund's fourth-quarter report, with a market capitalization of $59.029 billion [2] - The stock closed at $172.50 per share on February 20, 2026, with a one-month return of -18.35% and a 52-week gain of 0.92% [2] - Artisan Mid Cap Fund exited its investment in Snowflake due to elevated valuations and concerns over potential decelerating revenue growth linked to uneven consumption trends [3] - The fund noted that Snowflake's primary use for structured data may be challenged by advancements in large language models that could unlock unstructured data benefits, raising questions about its value proposition [3] Hedge Fund Interest - Snowflake Inc. was held by 88 hedge fund portfolios at the end of the fourth quarter, a decrease from 102 in the previous quarter [5] - While the potential of Snowflake as an investment is acknowledged, the fund believes that certain AI stocks present greater upside potential with less downside risk [5]