Sands Capital, an investment management company, released its “Sands Capital Select Growth Strategy” Q3 2025 investor letter. A copy of the letter can be downloaded here. U.S. large-cap growth equities continued to recover from a sharp sell-off in early April. Strong corporate earnings, investor enthusiasm around artificial intelligence (AI), and growing expectations for Federal Reserve policy easing drove the robust gains. The portfolio returned 6.3% (net) in the quarter, compared to the benchmark’s 10.5% gain. You can check the fund’s top 5 holdings to know more about its best picks for 2025.
In its third-quarter 2025 investor letter, Sands Capital Select Growth Strategy highlighted stocks such as Oracle Corporation (NYSE:ORCL). Oracle Corporation (NYSE:ORCL) offers products and services that address enterprise information technology environments. The one-month return of Oracle Corporation (NYSE:ORCL) was -25.55%, and its shares gained 12.18% of their value over the last 52 weeks. On November 21, 2025, Oracle Corporation (NYSE:ORCL) stock closed at $204.96 per share, with a market capitalization of $584.298 billion.
Sands Capital Select Growth Strategy stated the following regarding Oracle Corporation (NYSE:ORCL) in its third quarter 2025 investor letter:
“Oracle Corporation (NYSE:ORCL) is emerging as a leader in infrastructure for AI workloads. Oracle Cloud Infrastructure (OCI) is moving from a second-tier competitor in the CPU-based cloud infrastructure paradigm to the preeminent infrastructure provider for some of the most significant AI companies. An inflection in large-scale, multi-year customer commitments from AI companies, including OpenAI, demonstrates this shift. While Oracle also has well-established database and enterprise resource planning (ERP) software businesses that account for the majority of current revenues and earnings—and themselves have reasonably attractive growth prospects—the long-term growth case increasingly rests on its cloud infrastructure business.”
Oracle Corporation (NYSE:ORCL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 124 hedge fund portfolios held Oracle Corporation (NYSE:ORCL) at the end of the second quarter, up from 97 in the previous quarter. While we acknowledge the potential of Oracle Corporation (NYSE:ORCL) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
