Here’s What Made Jensen Quality Mid Cap Fund Pick Cadence Design Systems (CDNS)
Key takeaways
- A copy of the letter is available to download here.
- In its first-quarter 2026 investor letter, Jensen Quality Mid Cap Fund highlighted stocks such as Cadence Design Systems, Inc.
- Jensen Quality Mid Cap Fund stated the following regarding Cadence Design Systems, Inc.
Here’s What Made Jensen Quality Mid Cap Fund Pick Cadence Design Systems (CDNS) Soumya Eswaran Tue, May 12, 2026 at 7:25 PM GMT+7 3 min read CDNS Jensen Investment Management, an asset management company based in the US, released its first-quarter 2025 investor letter for the “Jensen Quality Mid Cap Fund”. A copy of the letter is available to download here. The Jensen Quality Mid Cap Fund aims for long-term growth. The Fund returned -2.53% in Q1 2026, lagging the 0.60% return for the MSCI US Mid Cap 450 Index. Mid-cap stocks were flat in the quarter due to inflation, war, high energy prices, and cautious consumer spending. Rapid AI investment growth impacted the Index, boosting some stocks but hurting others, especially software and business services stocks facing AI disruption concerns. Energy stocks surged after the Iran War, challenging performance. The fund s process focuses on high-quality companies with a 15%+ ROE for ten years, indicating sustained advantages. Quarterly performance benefited from underweights in the Financials and Communications Services and higher exposure to the Industrials sector, while underweight exposure in the Energy and Utilities sectors and overweight in Consumer Discretionary hurt performance. Please review the Fund’s top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, Jensen Quality Mid Cap Fund highlighted stocks such as Cadence Design Systems, Inc. (NASDAQ:CDNS). Cadence Design Systems, Inc. (NASDAQ:CDNS) is a global provider of AI-driven software, hardware, and silicon intellectual property products and solutions used for designing semiconductors. The one-month return of Cadence Design Systems, Inc. (NASDAQ:CDNS) was 24.57%, and its shares gained 14.29% of their value over the last 52 weeks. On May 11, Cadence Design Systems, Inc. (NASDAQ:CDNS) stock closed at $364.20 per share, with a market capitalization of $100.45 billion.
Jensen Quality Mid Cap Fund stated the following regarding Cadence Design Systems, Inc. (NASDAQ:CDNS) in its Q1 2026 investor letter: