Overview
- ClearBridge published first‑quarter 2026 letters across multiple strategies that cite a volatile quarter for stocks, with the S&P 500 down about 4.3%, information technology off roughly 9.2%, and energy up about 38.2%.
- The firm shifted away from software and toward energy, select industrials, and alternative asset managers, increasing exposure to Apollo and adding Blackstone for their long‑term capital and large cash reserves for private‑credit deals.
- It exited Oracle, Salesforce, PayPal, and Equinix and trimmed Broadcom to fund Taiwan Semiconductor, pointing to stretched valuations, slower growth, AI‑driven risk to software models, and Equinix’s heavy spending before AI demand fully shows up.
- New or renewed positions include Otis for steady elevator service revenue and Alnylam for a de‑risked biotech profile after reaching free‑cash‑flow breakeven in 2025, while Large Cap Growth raised weights in semiconductors and biopharma.
- Mid and small‑cap updates highlight durable growers such as RBC Bearings and Regal Rexnord tied to aerospace and electrification, a resilient consumer name in Casey’s, a sale of Expedia after a run‑up as war raised travel risk, and a long‑view on AppLovin as an AI beneficiary.