Middle Coast Investing, an investment advisor firm, released its third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The third quarter was favorable for Middle Coast Investing. Its collective portfolio outperformed the S&P 500 and is ahead of benchmarks year to date. In Q3 2025, the US Portfolios returned 9.6% compared to 7.8% for the S&P 500. It’s Core U.S. portfolios returned 10% while the Russell 2000 returned 12%, the S&P 600 returned 8.7% and the Nasdaq generated 11.2% for the same period. Also, its European Portfolios appreciated by 5.5%. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its third-quarter 2025 investor letter, Middle Coast Investing highlighted stocks such as Everus Construction Group, Inc. (NYSE:ECG). Everus Construction Group, Inc. (NYSE:ECG) is a US-based contracting services provider. The one-month return of Everus Construction Group, Inc. (NYSE:ECG) was 4.084%, and YTD its shares gained 21.78% of their value. On October 3, 2025, Everus Construction Group, Inc. (NYSE:ECG) stock closed at $80.07 per share, with a market capitalization of $4.084 billion.
Middle Coast Investing stated the following regarding Everus Construction Group, Inc. (NYSE:ECG) in its third quarter 2025 investor letter:
“Everus Construction Group, Inc. (NYSE:ECG) is a good example; I invested because it was a spin-off that got oversold after its own and a peer’s Q4 earnings report. It also, as a construction company that also builds out power lines, benefits from the data center boom fueled by AI. The company’s performance has been very strong so far this year, its guidance for the second half of the year seems improbably low. At the same time, the follow through on this demand is yet to be proven, and this may not be a forever winner.”
Everus Construction Group, Inc. (NYSE:ECG) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 25 hedge fund portfolios held Everus Construction Group, Inc. (NYSE:ECG) at the end of the second quarter, compared to 29 in the previous quarter. Everus Construction Group, Inc. (NYSE:ECG) reported second-quarter net sales of $921.5 million, marking a 31% increase from Q2 2024. While we acknowledge the potential of EVERUS CONSTRUCTION GROUP, INC. (NYSE:ECG) 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.
