Brown Advisory, an investment management company, released its “Brown Advisory Mid-Cap Growth Strategy” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The Strategy lagged the Russell Midcap® Growth Index in the fourth quarter due to stock selection. The performance was in line with expectations for the full year. The firm believes that the Strategy underperformed in 2025 because it did not own Palantir Technologies Inc (PLTR). The Strategy focuses on achieving solid risk-adjusted returns by investing in high-quality compounders with fair valuations and market capitalizations between $2 billion and $50 billion at the time of purchase. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.

In its fourth-quarter 2025 investor letter, Brown Advisory Mid-Cap Growth Strategy highlighted stocks such as Chipotle Mexican Grill, Inc. (NYSE:CMG). Chipotle Mexican Grill, Inc. (NYSE:CMG) owns and operates Chipotle Mexican Grill restaurants. The one-month return of Chipotle Mexican Grill, Inc. (NYSE:CMG) was -8.58%, and its shares lost 32.62% of their value over the last 52 weeks. On March 23, 2026, Chipotle Mexican Grill, Inc.  (NYSE:CMG) stock closed at $33.36 per share, with a market capitalization of $44.111 billion.

Brown Advisory Mid-Cap Growth Strategy stated the following regarding Chipotle Mexican Grill, Inc. (NYSE:CMG) in its fourth quarter 2025 investor letter:

"Chipotle Mexican Grill, Inc. (NYSE:CMG): Develops and operates fast-casual, fresh Mexican food restaurants. Chipotle (CMG) reported softer-than-consensus expected comparable sales as value-conscious behavior increased, particularly among younger and lower-income consumers. These pressures persisted through the year, leading management to modestly reduce full-year guidance for the third time."

Chipotle Mexican Grill, Inc. (NYSE:CMG) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 77 hedge fund portfolios held Chipotle Mexican Grill, Inc. (NYSE:CMG) at the end of the fourth quarter, up from 65 in the previous quarter. While we acknowledge the potential of Chipotle Mexican Grill, Inc. (NYSE:CMG) 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.

In another article, we covered Chipotle Mexican Grill, Inc. (NYSE:CMG) and shared the list of top wide moat stocks to buy for long term growth. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.