Pzena Investment Management released its Q3 2025 commentary for “Pzena Focused Value Strategy,” citing optimism about AI and a September rate cut as drivers of US broad-based index surges. The technology sector led, with growth surpassing value. The strategy gained but underperformed the Russell 1000 Value Index.

In the Q3 2025 investor letter, Pzena Focused Value Strategy highlighted Baxter International Inc. (NYSE:BAX), a healthcare company with a one-month return of -2.89%. Shares lost 41.42% over 52 weeks, closing at $18.48 on December 09, 2025. The fund added to its position in response to Baxter’s disappointing earnings due to a product recall and slow demand recovery.

Baxter International Inc. (NYSE:BAX) is not among the 30 Most Popular Stocks Among Hedge Funds, but 38 hedge fund portfolios held it at the end of Q3 2025. While acknowledging Baxter’s investment potential, some AI stocks are considered to offer greater upside potential with less downside risk. Consider exploring our free report on the best short-term AI stock.

In another article, the top lowest P/E ratios of the S&P 500 in 2025 were covered, with SCCM Enhanced Equity Income Fund selling its stake in Baxter International Inc. (NYSE:BAX) in Q3 2025. For more hedge fund investor letters from leading investors, visit our page dedicated to Q3 2025 investor letters.

Read more at Yahoo Finance: Here’s What Pressured Baxter International (BAX) in Q3