SouthernSun Asset Management, LLC released its third-quarter 2025 investor letter, reporting a 11.73% return for its Small Cap Strategy compared to benchmark indexes. The top 5 holdings of the strategy are also shared for insights into its best picks in 2025.

In the letter, SouthernSun Small Cap Strategy highlighted Crane NXT, Co. (NYSE:CXT), an industrial technology company. The stock had a one-month return of -8.39% and gained 10.72% over the last 52 weeks. On November 4, 2025, CXT closed at $63.13 per share with a market cap of $3.625 billion.

SouthernSun Small Cap Strategy initiated a new position in Crane NXT, Co. (NYSE:CXT) during the quarter, emphasizing its strong foundation in security and authentication technologies. The company was spun off from Crane Corporation in 2023, offering a nichey business opportunity for investors to consider.

Despite its potential, Crane NXT, Co. (NYSE:CXT) is not among the 30 Most Popular Stocks Among Hedge Funds. While 24 hedge fund portfolios held CXT at the end of the second quarter, analysts suggest exploring AI stocks with greater upside potential and less downside risk, especially those benefiting from current economic trends.

Read more at Yahoo Finance: SouthersSun Small Cap Strategy’s New Portfolio Holding