Optimist Fund had its strongest quarter of investment performance in Q2 2025, returning 39.2% compared to 11.3% for its benchmark. The firm’s strategy focuses on underappreciated, market-leading businesses led by ambitious CEOs. ThredUp Inc. (NASDAQ:TDUP) is among the highlighted stocks, with a 1-month return of 1.98% and shares gaining 1,062.54% over 52 weeks.

ThredUp Inc. (NASDAQ:TDUP) is undergoing a significant inflection point, with strong Q1 results leading to raised guidance for Q2 and beyond. Despite its strong performance year-to-date, Optimist Fund sees meaningful upside potential for ThredUp Inc. as it scales into existing fulfillment center capacity.

ThredUp Inc. (NASDAQ:TDUP) saw revenue growth accelerate by 16.4% year-over-year to $77.7 million in Q2 2025. While 25 hedge funds held TDUP shares at the end of the quarter, Optimist Fund believes certain AI stocks offer greater upside potential with less downside risk. Check out our list of must-buy small-cap stocks for further investment opportunities.

Read more at Yahoo Finance: Optimist Fund’s Investment Thesis for ThredUp (TDUP) is Paying Off