Meridian Funds, managed by ArrowMark Partners, released its “Meridian Contrarian Fund” third-quarter 2025 investor letter, reporting a 6.72% return. Tech gains and lowered bond yields fueled equities to new highs. Federal Reserve cut rates by 25 basis points in mid-September. Top five holdings are also detailed in the letter for potential investment insights.

In the third quarter of 2025, Meridian Contrarian Fund highlighted NLIGHT, Inc. (NASDAQ:LASR), a technology company specializing in semiconductor and fiber lasers. With a one-month return of 8.77% and a share value growth of 218.54% over the last 52 weeks, NLIGHT, Inc. (NASDAQ:LASR) closed at $35.23 per share on November 28, 2025.

Meridian Contrarian Fund’s third quarter 2025 investor letter praised NLIGHT, Inc. (NASDAQ:LASR) for its defense market focus and leadership position in high-power lasers. The company’s stock was re-rated higher due to expanding addressable markets. Despite trimming some holdings for risk management, Meridian remains invested in NLIGHT, Inc. (NASDAQ:LASR).

NLIGHT, Inc. (NASDAQ:LASR) is not among the 30 most popular stocks among hedge funds. However, 34 hedge fund portfolios held the company at the end of the third quarter, up from 30 in the previous quarter. NLIGHT, Inc. (NASDAQ:LASR) reported revenue of $67 million in Q3 2025, a 19% year-over-year growth. While acknowledging its potential, some AI stocks may offer greater upside potential and less downside risk.

Read more at Yahoo Finance: Varied Growth Drivers Lifted nLIGHT (LASR) in Q3