Particle.news
Download on the App Store

Sound Shore Fund Beats S&P in Tough Q1 as Energy Gains Offset Tech Weakness

Rising oil prices tied to the Iran war steered investors toward energy.

Overview

  • Sound Shore Management, which released its Q1 2026 investor letter Wednesday, reported returns of -3.45% for the Investor Class and -3.43% for the Institutional Class.
  • The fund outpaced the S&P 500’s -4.33% for the quarter but trailed the Russell 1000 Value Index, which rose 2.10%.
  • Energy holdings BP, Coterra, and EQT rose about 20% or more as higher oil and gas prices lifted producer profits.
  • Disney and Southwest gave back part of prior gains on war-related worries about travel and consumer spending, yet the fund kept both as full positions due to strong balance sheets and ongoing restructurings.
  • Sound Shore highlighted 35-year annualized returns of 10.43% (SSHFX) and 10.69% (SSHVX) as of March 31, 2026, and said its portfolio targets long-term cash flow drivers.