ClearBridge Investments, an investment management company, recently released its “ClearBridge Growth Strategy” fourth-quarter 2025 investor letter. The letter highlighted the strong but volatile performance of US equities in the fourth quarter, with the S&P 500 Index returning 2.7% while the benchmark Russell Midcap Growth Index declined 3.7%. Despite the challenging market conditions, ClearBridge Growth Strategy managed to outperform for the third consecutive quarter by taking a balanced, highly active share approach. This approach allowed the strategy to capture early momentum while providing downside protection during periods of rising volatility.
The ClearBridge Growth Strategy maintained its long-term investment philosophy of disciplined portfolio management and opportunistic capital allocation. The strategy’s top five holdings for 2025 reflected its commitment to selecting quality companies with strong growth potential. One of the highlighted stocks in the investor letter was The TJX Companies, Inc. (NYSE:TJX), an off-price apparel and home fashion retailer. The stock had a one-month return of 0.70% and gained 31.63% of its value over the last 52 weeks. On January 9, 2026, The TJX Companies, Inc. (NYSE:TJX) closed at $157.81 per share, with a market capitalization of $175.633 billion.
ClearBridge Growth Strategy praised The TJX Companies, Inc. (NYSE:TJX) for delivering solid third-quarter results and a strong start to the fourth quarter. The company’s better merchandise availability led to broader and higher-quality assortments, supporting traffic, same-store sales, and earnings growth in the consumer discretionary sector.
While The TJX Companies, Inc. (NYSE:TJX) was not among the 30 most popular stocks among hedge funds, 69 hedge fund portfolios still held the stock at the end of the third quarter. ClearBridge Growth Strategy acknowledged the potential of The TJX Companies, Inc. (NYSE:TJX) as an investment but suggested that certain AI stocks might offer greater upside potential with less downside risk. For investors seeking an undervalued AI stock that could benefit from Trump-era tariffs and the onshoring trend, ClearBridge Growth Strategy recommended exploring their free report on the best short-term AI stock.
Overall, ClearBridge Growth Strategy’s fourth-quarter 2025 investor letter highlighted the strategy’s ability to navigate volatile market conditions and outperform its benchmarks. By sticking to its long-term investment philosophy and selecting quality companies like The TJX Companies, Inc. (NYSE:TJX), ClearBridge Investments demonstrated its commitment to delivering value for investors.
