Madison Investments, an investment advisor, released its fourth-quarter 2025 investor letter for the “Madison Large Cap Fund”. A copy of the letter can be downloaded here. In the fourth quarter, the S&P 500 returned 2.65%, resulting in a full-year return of 17.9% for 2025. Over the last three years, the Index has achieved annual growth of over 21%. Following the recent trends, market leadership was defined by High Beta and Momentum factors, with narrow participation. However, in the fourth quarter, the market saw slight improvements in previously lagging sectors like Healthcare, Financials, and Consumer Discretionary. Still, mega-cap technology companies remained the primary drivers of the S&P 500’s overall return, indicating high stock concentration. Against this backdrop, the Madison Large Cap Fund (Class I) appreciated 3.43% compared to the S&P 500 Index’s 2.65% return. In addition, please check the Fund’s top five holdings to know its best picks in 2025.
In its fourth-quarter 2025 investor letter, Madison Large Cap Fund highlighted stocks like Texas Instruments Incorporated (NASDAQ:TXN). Texas Instruments Incorporated (NASDAQ:TXN) is a semiconductor manufacturer to electronics designers and manufacturers. On February 24, 2026, Texas Instruments Incorporated (NASDAQ:TXN) stock closed at $213.35 per share. One-month return of Texas Instruments Incorporated (NASDAQ:TXN) was -1.30%, and its shares gained 7.62% over the past 52 weeks. Texas Instruments Incorporated (NASDAQ:TXN) has a market capitalization of $193.855 billion.
Madison Large Cap Fund stated the following regarding Texas Instruments Incorporated (NASDAQ:TXN) in its fourth quarter 2025 investor letter:
“The bottom five detractors for the quarter were Fiserv, CDW Corporation, Copart, Progressive, and Texas Instruments Incorporated (NASDAQ:TXN). Texas Instruments reported strong results and its end markets are in the early stages of recovering, its shares underperformed as investors were expecting growth to recover a bit quicker.”
Texas Instruments Incorporated (NASDAQ:TXN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 78 hedge fund portfolios held Texas Instruments Incorporated (NASDAQ:TXN) at the end of the fourth quarter, up from 72 in the previous quarter. While we acknowledge the potential of Texas Instruments Incorporated (NASDAQ:TXN) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
