The Fund’s Strategic Sale of Old Dominion Freight Line (ODFL) Locked in Gains

The Fund’s Strategic Sale of Old Dominion Freight Line (ODFL) Locked in Gains

Mon, August 17, 2026 at 5:45 PM GMT+3 3 min read

• ODFL +0.24%

Weitz Investment Management, an investment management firm, released its second-quarter Q2 2026 investor letter for the "Large Cap Equity Fund". A copy of the letter can be downloaded here. The Large Cap Equity Fund's Institutional Class posted a return of 7.03% in Q2, trailing the 15.49% return of the Bloomberg U.S. 1000 Index. This disparity arose as equity markets surged amid economic resilience and easing Middle East tensions, while AI-related stock performance soared due to heightened investor interest in "AI bottleneck" beneficiaries, primarily semiconductor firms. Major positions in "hyperscaler" cloud providers yielded mixed results. Risk-on factors like momentum and growth significantly outpaced defensive factors. Despite the current volatility, the Fund maintains its philosophy of investing in quality companies at undervalued prices, believing this strategy will yield improved returns over time. The portfolio held ownership in 30 companies, with the top 10 comprising over half of the portfolio. The price-to-value ratio is in the upper-70s, indicating strong return potential. Additionally, reviewing the Fund's top five holdings could help identify its best picks for 2026.

In its Q2 2026 investor letter, Weitz Investment Large Cap Equity Fund highlighted Old Dominion Freight Line, Inc. (NASDAQ:ODFL). Old Dominion Freight Line, Inc. (NASDAQ:ODFL) is a less-than-truckload motor carrier that provides regional, inter-regional, and national less-than-truckload services, as well as expedited transportation. On August 14, 2026, Old Dominion Freight Line, Inc. (NASDAQ:ODFL) closed at $210.97 per share. One-month return of Old Dominion Freight Line, Inc. (NASDAQ:ODFL) was 8.91%, and its shares gained 40.30% over the past 52 weeks. Old Dominion Freight Line, Inc. (NASDAQ:ODFL) has a market capitalization of $43.45 billion.

Weitz Investment Large Cap Equity Fund stated the following regarding Old Dominion Freight Line, Inc. (NASDAQ:ODFL) in its Q2 2026 investor letter:

"We sold the Fund's profitable investment in Old Dominion Freight Line, Inc. (NASDAQ:ODFL) when the stock traded above our business value estimate. We respect and admire the company's management, culture, and methodical approach to building business value in the competitive trucking industry. While positive developments have been stacking up on several fronts, we think the stock price already reflects a strong volume recovery, robust pricing, and plenty of operating ratio improvement. We would gladly own the stock again at the right price."

Old Dominion Freight Line, Inc. (NASDAQ:ODFL) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 51 hedge fund portfolios held Old Dominion Freight Line, Inc. (NASDAQ:ODFL) at the end of the first quarter, up from 48 in the previous quarter. While we acknowledge the potential of Old Dominion Freight Line, Inc. (NASDAQ:ODFL) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on thebest short-term AI stock.

In another article, we covered Old Dominion Freight Line, Inc. (NASDAQ:ODFL) and shared the list of best debt-free American stocks to invest in. In addition, please check out our hedge fund investor letters Q2 2026 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.