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Carillon Small-Cap Growth Fund Details Q3 Rally Drivers and Portfolio Standouts

Managers attribute gains to AI momentum, softer tariff pressures plus prospects for Federal Reserve rate cuts.

Overview

  • In its Q3 2025 letter, Carillon Tower Advisers says the small-cap advance from April lows continued, with the Russell 2000 Growth Index up 12.19% for the quarter.
  • Zurn Elkay is cited as outperforming nonresidential construction after an across-the-board earnings beat, with growth helped by new products and favorable legislation.
  • Lantheus is described as under pressure as Pylarify faces new competition and reimbursement setbacks, prompting lowered guidance with no near-term pipeline offsets.
  • Monday.com reported better-than-expected results but trimmed guidance due to a temporary change in inbound lead generation and macro pressures on its customer base.
  • Additional highlights include Rambus benefiting from AI data center demand, Perimeter Solutions gaining on strong execution and a new multi-year fire-retardant contract, and Powell Industries rallying on a robust utility and grid investment outlook with potential data center exposure.