Artisan Mid Cap Value Fund Trails in Q3 2025 as AI Winners Contrast Health-Care Weakness

The firm attributes the shortfall primarily to health-care holdings, with Baxter singled out as a major detractor.

Overview

The fund returned 0.97% for the quarter versus 6.18% for the Russell Midcap Value Index, despite a broader Q3 rally driven by strong earnings, rising AI capital spending and expectations for policy support and lower rates.
Management cites health-care stock selection as the main drag, highlighting Baxter’s post‑COVID disruptions, restructuring overhang, a July CEO change with no detailed plan yet, and a single‑digit forward earnings multiple.
nVent was a top contributor on strong organic growth in data center and utility markets, with demand for its liquid‑cooling solutions tied to AI infrastructure expansion.
Constellation Brands detracted as growth slowed and demand weakened in its core Hispanic customer base, leaving shares at roughly 12 times next year’s forecast earnings.
Insider Monkey data indicate rising hedge‑fund holder counts in Q3 2025 for Baxter (31 to 38), Constellation (42 to 50) and nVent (55 to 61).