Portillo’s (PTLO) Fell as Results Fell Short of Expectations

2 days ago 4

Soumya Eswaran

Fri, November 28, 2025 astatine 7:50 AM CST 3 min read

Fred Alger Management, an concern absorption company, released its “Alger Small Cap Focus Fund” third-quarter 2025 capitalist letter. A transcript of the missive tin beryllium downloaded here. U.S. equity markets continued their upward trajectory successful the 3rd 4th with the S&P 500 Index rising 8.12%. A operation of improving economical conditions, coagulated firm earnings, and increasing expectations for monetary easing propelled the robust equity market. Against this backdrop, the people A shares of the money underperformed the Russell 2000 Growth Index. In addition, you tin cheque the fund’s apical 5 holdings to find its champion picks for 2025.

In its third-quarter 2025 capitalist letter, Alger Small Cap Focus Fund highlighted stocks specified arsenic Portillo’s Inc. (NASDAQ:PTLO). Portillo’s Inc. (NASDAQ:PTLO) is simply a US-based edifice operator. The one-month instrumentality of Portillo’s Inc. (NASDAQ:PTLO) was -2.80%, and its shares mislaid 54.44% of their worth implicit the past 52 weeks. On November 27, 2025, Portillo’s Inc. (NASDAQ:PTLO) banal closed astatine $5.21 per share, with a marketplace capitalization of $374.767 million.

Alger Small Cap Focus Fund stated the pursuing regarding Portillo’s Inc. (NASDAQ:PTLO) successful its 3rd 4th 2025 capitalist letter:

"Portillo’s Inc. (NASDAQ:PTLO) is simply a fast-casual edifice concatenation champion known for Chicago-style blistery dogs and Italian beef sandwiches, operating company-owned locations crossed the United States. During the quarter, shares detracted from show aft the institution reported weaker-than-expected fiscal second-quarter results. Management besides reduced full-year guidance for same-restaurant sales, citing softer postulation and underperformance astatine immoderate newer restaurants. In our view, concerns astir slower same-store momentum, moderated improvement pace, and manufacture pricing/promotional unit overshadowed the brand’s longer-term enlargement narrative."

Portillo’s Inc. (NASDAQ:PTLO) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. As per our database, 18 hedge money portfolios held Portillo’s Inc. (NASDAQ:PTLO) astatine the extremity of the 3rd quarter, which was 26 successful the erstwhile quarter. In the 3rd 4th of 2025, Portillo’s Inc. (NASDAQ:PTLO) reported gross of $181.4 million, reflecting an summation of $3.2 cardinal compared to Q3 2024. While we admit the imaginable of Portillo’s Inc. (NASDAQ:PTLO) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.