Broyhill Asset Management, an investment advisor, released its fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. 2025 witnessed extreme market concentration and a strong focus on artificial intelligence, leaving many sectors behind. The Portfolio, which has been significantly reshaped, now trades at a substantial discount relative to the broader market. The firm strongly believes it will benefit as market fundamentals improve. For the year, the portfolio declined by 1.4%, underperforming the MSCI ACWI’s 22.9% return. Momentum has dominated equity markets, with performance driven more by narratives than fundamentals. The firm admits the risks of being different but will remain contrarian and strategic, adapting more quickly to changing facts. In addition, please check the Portfolio’s top five holdings to know its best picks in 2025.
In its fourth-quarter 2025 investor letter, Broyhill Asset Management highlighted Six Flags Entertainment Corporation (NYSE:FUN) as one of its largest detractors. Six Flags Entertainment Corporation (NYSE:FUN) is an energy company that supplies nuclear fuel components for the nuclear power industry. On February 25, 2026, Six Flags Entertainment Corporation (NYSE:FUN) stock closed at $17.00 per share. One-month return of Six Flags Entertainment Corporation (NYSE:FUN) was -7.36%, and its shares lost 60.79% over the past 52 weeks. Six Flags Entertainment Corporation (NYSE:FUN) has a market capitalization of $1.725 billion.
Broyhill Asset Management stated the following regarding Six Flags Entertainment Corporation (NYSE:FUN) in its fourth quarter 2025 investor letter:
“Our mistakes were costly. Our largest detractors were Avantor, Fiserv, and Six Flags Entertainment Corporation (NYSE:FUN). Losers also shared a common thread: financial leverage amplified by execution missteps. Six Flags was our third-largest detractor from performance. Our original underwriting leaned on our successful track record of investing in the industry, combined with operational upside and meaningful cost savings following the combination of Cedar Fair and Six Flags. We believed recession fears were misplaced, given historically resilient attendance at parks, and the merger created levers for improvement and balance-sheet optimization through asset sales, as the majority of the company’s profits were generated by a handful of parks. We underweighted the risk that integration, weather, and a struggling low-income consumer would deliver significantly softer results in a tough discretionary backdrop, and that “fixable” would take longer than opportunity cost, or the company’s overleveraged balance sheet, could justify. We sold half of our position after second quarter results fell short of our expectations and the CEO stepped down, and later fully exited the position.”
