Greystone Capital Management, an investment management company, released its first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter, the median account return for separate accounts managed by the firm was -7.9%, net of fees. The fund unfavorably and favorably compared to the S&P 500 and Russell 2000 returns of -4.2% and -9.5% during the quarter. Client portfolios are concentrated in small companies mostly outside major indices, leading to returns that typically differ from those indices. In addition, you can check the fund’s top 5 holdings to find out its best picks for 2025.

In its first-quarter 2025 investor letter, Greystone Capital Management highlighted stocks such as Xponential Fitness, Inc. (NYSE:XPOF), in the fourth quarter 2024 investor letter. Xponential Fitness, Inc. (NYSE:XPOF) is a North America-based boutique fitness franchisor. The one-month return of Xponential Fitness, Inc. (NYSE:XPOF) was 5.94%, and its shares lost 31.41% of their value over the last 52 weeks. On May 6, 2025, Xponential Fitness, Inc. (NYSE:XPOF) stock closed at $8.21 per share with a market capitalization of $397.438 million.

Greystone Capital Management stated the following regarding Xponential Fitness, Inc. (NYSE:XPOF) in its Q1 2025 investor letter:

“Xponential Fitness, Inc. (NYSE:XPOF) was a new position for us that I started buying in late February and spoke briefly about during our annual meeting. I won’t rehash the details, but based on our work, I was under the impression that the company’s past issues were in the rearview mirror, and with a new management team in place, the future seemed bright. We bought our shares at a wide discount to other franchise businesses, despite the high-quality business and growth prospects.

A group of people in the fitness studio doing a yoga or pilates class.