Overview
- Conestoga reported its Smid Cap Composite declined 10.24% net of fees in Q1 2026, versus a 3.52% decline for the Russell 2500 Growth Index.
- The firm said negative stock picking and weakness in Technology, Industrials, and Health Care drove the shortfall.
- Conestoga described a tougher backdrop as conflict in the Middle East and shifting interest-rate views pushed energy prices higher and rattled small-cap shares.
- Balchem, a specialty ingredients company, helped results with record quarterly revenue of $271 million and net income up about 17%.
- Q2 Holdings weighed on performance after management guided roughly 10% revenue growth for 2026, even as Q1 revenue rose 14% to $216.5 million.