Ariel Investments, an investment management company, released its “Ariel Global Fund” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. Ariel Global Fund delivered solid results in 2025, rising +23.30% for the year and outperforming both the MSCI ACWI and MSCI ACWI Value indices, although it lagged benchmarks in the fourth quarter with a +2.88% return versus +3.29% and +3.66%, respectively, for the indexes. The quarter unfolded against a constructive global backdrop, as moderating inflation, easing financial conditions, and resilient corporate earnings supported equities, with strength led by U.S. mega-cap technology stocks, improving conditions in Europe and Japan, and a strong full-year rebound in China. Performance was driven primarily by stock selection, with gains in financials and information technology offset by weakness in consumer discretionary and healthcare holdings, while several individual positions faced short-term pressures from higher costs, restructuring charges, or softer demand. Looking ahead, management remains optimistic on international equities, citing improving corporate fundamentals, supportive policy environments, and attractive valuations relative to growth prospects, while emphasizing that increasing market dispersion and a broadening of leadership beyond U.S. mega-cap stocks create a favorable environment for active, bottom-up stock selection focused on companies with strong balance sheets, durable earnings, and long-term structural growth drivers. In addition, you can check the Fund’s top 5 holdings for its best picks for 2025.
In its fourth-quarter 2025 investor letter, Ariel Investments’ Global Fund highlighted stocks like Hewlett Packard Enterprise Company (NYSE:HPE). Hewlett Packard Enterprise Company (NYSE:HPE) provides enterprise IT solutions, including servers, storage, and cloud services, to help organizations manage and modernize their infrastructure. The one-month return of Hewlett Packard Enterprise Company (NYSE:HPE) was 4.48% while its shares traded between $11.97 and $26.44 over the last 52 weeks. On March 30, 2026, Hewlett Packard Enterprise Company (NYSE:HPE) stock closed at approximately $22.61 per share, with a market capitalization of about $30.04 billion.
Ariel Investments’ Global Fund stated the following regarding Hewlett Packard Enterprise Company (NYSE:HPE) in its Q4 2025 investor letter:
“We initiated a position in Hewlett Packard Enterprise Company (NYSE:HPE), a global provider of enterprise hardware solutions including servers, networking and storage. The company recently completed its acquisition of Juniper Networks, strengthening its position in networking, a higher-margin business that improves HPE’s overall financial profile. Despite this strategic move, the stock has lagged due to cautious guidance and a history of inconsistent execution. However, we think upcoming product refreshes in servers, growth in AI-driven infrastructure and networking demand tied to data centers could serve as catalysts. Additionally, activist involvement in the name adds a layer of accountability and potential upside. In our view, HPE offers an attractive opportunity for investors willing to look beyond short-term sentiment and focus on long-term transformation.”
