Giverny Capital’s Q4 2025 investor letter shows a 0.01% return, underperforming the S&P 500’s 2.66%. The fund returned 12.58% YTD compared to the Index’s 17.88%. Despite challenging times, the firm’s portfolio companies are excelling in earnings growth and capital returns, while facing underperformance due to the market’s focus on AI investments.

In Q4 2025, Giverny Capital exited Align Technology, Inc. (NASDAQ: ALGN). The one-month return for ALGN was 5.18%, with shares losing 25.10% over 52 weeks. On Jan. 29, 2026, ALGN closed at $164.12 per share, with a market capitalization of $11.896 billion.

Giverny Capital’s investor letter highlighted Align Technology, Inc. (NASDAQ: ALGN) as a top pick. Align’s clear aligners are expected to displace traditional braces over time, creating a new market for adult orthodontia. The company’s potential growth is recognized, but certain AI stocks are seen as offering greater upside potential with less downside risk.

Align Technology, Inc. (NASDAQ: ALGN) is not among the 30 most popular stocks among hedge funds. 48 hedge fund portfolios held ALGN at the end of Q3 2025. In Q3 2025, ALGN reported revenue of $995.7 million, down 1.7% from the prior quarter. While ALGN presents investment potential, other AI stocks are seen as offering greater upside potential and less downside risk.

For more insights on Align Technology, Inc. (NASDAQ: ALGN) and other hedge fund investor letters from Q4 2025, visit Insider Monkey’s page.

Read more at Yahoo Finance: Here’s Why Giverny Capital Asset Management Sold Align Technology (ALGN)