Heartland Advisors, an investment management company, released its "Heartland Mid Cap Value Fund" fourth- quarter 2025 investor letter. A copy of the letter can be downloaded here. As the overall stock market continues to widen, mid-caps are not experiencing the same. The high-quality value stocks continue to underperform, while speculative, low-quality, and momentum-driven sections of the market have received significant attention, and the valuation gaps are widening further. Against this backdrop, the Fun ...

Company Overview - Federal Realty Investment Trust (FRT) has a market cap of $8.8 billion and is a leading owner, operator, and redeveloper of high-quality retail-based and mixed-use properties primarily located in major coastal markets with strong economic and demographic fundamentals [1] - The company focuses on creating community-driven destinations where retail demand exceeds supply [1] - FRT is categorized as a "mid-cap" stock, with a diversified portfolio that includes 103 properties, millions of square feet of commercial space, and thousands of residential units [2] Stock Performance - FRT shares have declined 12% from their 52-week high of $115.59, but have risen 2.4% over the past three months, outperforming the broader Nasdaq Composite's 1.9% gain during the same period [3] - Year-to-date, FRT stock is down 9.2%, lagging behind the Nasdaq Composite's 17.5% increase, and has decreased 11.1% over the past 52 weeks compared to the Nasdaq's 12.9% return [4] - The stock has been trading below its 50-day moving average since late October [4] Financial Performance - On October 31, FRT reported better-than-expected Q3 2025 FFO of $1.77 per share and revenue of $322.3 million [5] - The company achieved record leasing volume of 727,029 square feet with rent growth of 28% on a cash basis and comparable property operating income growth of 4.4% [5] - Federal Realty raised its full-year 2025 FFO guidance to a range of $7.05 to $7.11 per share [5] Competitive Landscape - In comparison, rival Simon Property Group, Inc. (SPG) has outperformed FRT, with SPG stock returning nearly 7% year-to-date and 7.4% over the past 52 weeks [6] - Despite FRT's weak performance, analysts maintain a moderately optimistic outlook, with a consensus rating of "Moderate Buy" among 19 analysts and a mean price target of $109.47, representing a 7.6% premium to current levels [6]

Core Viewpoint - Generac Holdings Inc. is experiencing significant stock declines and has revised its financial outlook downward due to weaker-than-expected performance in Q3 2025, particularly in residential product sales and overall profitability [5][6]. Company Overview - Generac Holdings Inc. has a market capitalization of $8.5 billion and operates as a global energy technology company, offering a variety of power generation, energy storage, and smart energy management solutions across residential, commercial, and industrial markets [1]. - The company distributes its products through a wide network of dealers, retailers, distributors, and direct-to-customer channels globally [2]. Stock Performance - Shares of Generac Holdings have decreased by 28.8% from their 52-week high of $203.25 and have dropped 20.1% over the past three months, underperforming the Industrial Select Sector SPDR Fund (XLI), which rose by 1.6% in the same period [3]. - Year-to-date, GNRC stock is down 6.6%, while XLI has increased by 16.5%. Over the past 52 weeks, Generac shares have fallen by 12.3%, compared to XLI's 12.7% return [4]. Financial Performance - In Q3 2025, Generac reported an adjusted EPS of $1.83, which was weaker than expected, and revenue declined by 5% year-over-year to $1.11 billion. This decline was attributed to a significantly weaker power outage environment, resulting in a 13% drop in residential product sales to $627 million [5]. - The adjusted EBITDA margin fell to 17.3%, and the company has lowered its full-year 2025 outlook, projecting net sales growth to be approximately flat and reducing the expected adjusted EBITDA margin to about 17% [6].

Core Insights - Norwegian Cruise Line Holdings Ltd. (NCLH) is valued at a market cap of $9.8 billion and operates three major brands, making it one of the largest cruise operators globally [1] - The company is classified as a mid-cap stock and is experiencing a gradual return to profitability with expanding fleet capacity and resilient consumer demand [2] Stock Performance - NCLH is currently trading 26.5% below its 52-week high of $29.29, with a 15.1% decline in shares over the past three months, underperforming the Dow Jones Industrial Average's 4.1% rise [3] - Over the past 52 weeks, NCLH shares have dropped 18.4%, while the Dow Jones Industrial Average has increased by 10.2% [4] - Year-to-date, NCLH shares are down 16.3%, compared to a 12.6% rise in the financial sector (XLF) [4] Recent Developments - On December 11, NCLH shares rose 4.9% following the announcement of Marc Kazlauskas as the new President, effective January 19, 2026, indicating positive market sentiment regarding his leadership [5] - NCLH has significantly underperformed compared to its rival, Carnival Corporation & plc (CCL), which has seen a 9% increase over the past 52 weeks and a 12.5% rise year-to-date [6]

Virginia-based The AES Corporation (AES) is a global energy company and major player in power generation and utilities, with operations spanning the United States and multiple international markets. AES has a market capitalization of $9.9 billion, and it owns and operates a diversified portfolio of power plants and utility systems that generate, transmit, distribute, and sell electricity to residential, commercial, industrial, and governmental customers. Companies with a valuation between $2 billion and ...

Irvine, California-based Skyworks Solutions, Inc. (SWKS) designs, manufactures, and markets a broad range of high-performance analog and mixed signal semiconductors that enable wireless connectivity. With a market cap of $9.8 billion, the company’s operations span the US, Indo-Pacific, and EMEA region. Companies worth between $2 billion and $10 billion are generally described as "mid-cap stocks." SWKS fits right into that category, with its market cap exceeding this threshold, reflecting its substantial ...

Company Overview - Molson Coors Beverage Company (TAP) is based in Golden, Colorado, and is valued at $9.4 billion, producing iconic beer brands such as Coors Light, Miller Lite, and Keystone [1] - TAP is classified as a mid-cap stock, with a market cap exceeding $2 billion, highlighting its size and influence in the beverages - brewers industry [2] Financial Performance - TAP's stock has declined 26.3% from its 52-week high of $64.66, reached on March 10, and has underperformed the S&P 500 Index, which gained 3% over the same period [3] - Over the past six months, TAP shares fell 5.8%, and over the past 52 weeks, they dipped 21.9%, while the S&P 500 saw gains of 14.1% and 12.7% respectively [4] - In Q3, TAP reported an adjusted EPS of $1.67, missing Wall Street expectations of $1.72, and revenue of $2.97 billion, which fell short of forecasts of $3.02 billion [5] Market Position and Competition - TAP has been trading below its 200-day moving average since early May but above its 50-day moving average since early November, indicating slight fluctuations [4] - Competitor Compañía Cervecerías Unidas S.A. (CCU) has shown resilience, with a marginal uptick over six months and 11% gains over the past 52 weeks, outperforming TAP [5] Analyst Sentiment - Wall Street analysts have a consensus "Hold" rating on TAP, with a mean price target of $50.30, suggesting a potential upside of 5.5% from current price levels [6]

Core Insights - Charles River Laboratories International, Inc. (CRL) is a leading American contract research organization (CRO) with a market cap of $9.5 billion, serving various sectors including pharmaceuticals and biotechnology [1] - CRL is categorized as a mid-cap stock, benefiting from strong competitive advantages such as end-to-end preclinical drug development capabilities and long-standing client relationships [2] - The stock has shown significant short-term performance, gaining 30.2% over the past three months, outperforming the Dow Jones Industrial Average [3] Performance Metrics - CRL reached a 52-week high of $200.58, but on a year-to-date basis, it is up only 7.3%, lagging behind the Dow's 13.8% rise in 2025 [3][4] - The stock has maintained a position above its 50-day and 200-day moving averages since late September, indicating a strengthening technical uptrend [4] - Following an upgrade from JPMorgan Chase & Co., CRL shares gained over 2%, with the price target raised to $190, reflecting optimism about the company's fundamentals [5] Competitive Position - Compared to its peer Labcorp Holdings Inc., CRL has underperformed, with Labcorp showing a 14.8% increase year-to-date and 13.5% over the past 52 weeks [6]

Company Overview - LKQ Corporation, based in Antioch, Tennessee, is a leading provider of alternative and specialty parts for vehicle repair and accessorization, with a market cap of $7.9 billion [1] - The company operates through various segments including Wholesale-North America, Europe, Specialty, and Self-Service [1][2] Market Position - LKQ is categorized as a mid-cap stock, with its market cap exceeding the $2 billion to $10 billion range, indicating its substantial size and influence in the auto parts industry [2] Stock Performance - LKQ stock has experienced a significant decline, dropping 31.9% from its 52-week high of $44.82 on March 10, and has underperformed the Dow Jones Industrial Average, which increased by 5.5% over the same three-month period [3][4] - Year-to-date, LKQ stock prices have decreased by 17%, and over the past 52 weeks, they have fallen by 19.6%, while the Dow has gained 13.8% in 2025 and 10.5% over the past year [4] Recent Financial Results - Following the release of mixed Q3 results on October 30, LKQ's stock prices gained 3.7%. The company reported a 1.2% decrease in organic revenues for parts and services, with a net negative impact of 30 basis points from acquisitions and divestitures [5] - Despite these challenges, the overall topline increased by 1.3% year-over-year to $3.5 billion, although this was 84 basis points below market expectations [5] - The adjusted EPS decreased by 2.3% year-over-year to $0.84, but this figure surpassed consensus estimates by 13.5% [6] Competitive Comparison - Compared to its peer Mobileye Global Inc., which saw a 47.1% decline year-to-date and a 39.8% drop over the past 52 weeks, LKQ has significantly outperformed [6]

The Campbell's Company (CPB), headquartered in Camden, New Jersey, manufactures and markets branded convenience food and beverage products. Valued at $8.6 billion by market cap, the company's core divisions include soups and sauces, biscuits and confectionery, and foodservice. It sells its products through retail food chains, mass discounters and merchandisers, club stores, convenience stores, drug stores, and dollar stores. Companies worth $2 billion or more are generally described as “mid-cap stocks,” ...