Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTSoumya EswaranMon, June 8, 2026 at 3:32 PM GMT+2 3 min readArgosy Investors, an investment management company, released its Q1 2026 investor letter. A copy is available to download here. The letter discussed the current transformative investment landscape driven by the AI capex boom. The author expressed skepticism about the durability of the earnings flowing to its market participants and suppliers. The main challenge during capex booms is balancing supply and demand, especially the accelerated shift of AI technologies. While companies benefit from rising volumes and prices, the potential for earnings to be overstated becomes a concern if supply catches up quicker than anticipated. In this backdrop, the firm remains cautious in taking investment decisions. In addition, please check the Fund’s top five holdings to know its best picks in 2026.In its first-quarter 2026 investor letter, Argosy Investors highlighted stocks like CDW Corporation (NASDAQ:CDW). CDW Corporation (NASDAQ:CDW) is an information technology (IT) solutions company that operates through Commercial, Government, and Education segments. On June 5, 2026, CDW Corporation (NASDAQ:CDW) closed at $133.04 per share. One-month return of CDW Corporation (NASDAQ:CDW) was 29.74%, and its shares lost 25.02% over the past 52 weeks. CDW Corporation (NASDAQ:CDW) has a market capitalization of $17 billion.Argosy Investors stated the following regarding CDW Corporation (NASDAQ:CDW) in its Q1 2026 investor letter:"I added to CDW Corporation (NASDAQ:CDW). CDW is the best-in-class value-added reseller of IT products, and recent product mix shifts towards more hardware (because of demand for AI) has driven margins lower and has highlighted potential for reduced software spend over time, where margins are much higher. CDW has a reputation for serving all sizes of customers as well as education and government customers, all constituencies which are slow to adopt new technology. I think at 11x FCF CDW is well-positioned to generate significant current return through a 2.5% dividend yield and significant share repurchases that could reduce shares outstanding by 20% in only a few years. CDW generally does not require significant capital to grow, so I think the assumption of meaningful capital return is relatively safe, assuming management does not engage in value-destroying acquisitions."Is CDW Corporation (CDW) Mid-Cap IT Stock Outperforming The Market In 2025?CDW Corporation (NASDAQ:CDW) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 46 hedge fund portfolios held CDW Corporation (NASDAQ:CDW) at the end of the first quarter, compared to 58 in the previous quarter. While we acknowledge the potential of CDW Corporation (NASDAQ:CDW) 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 the best short-term AI stock.Terms and Privacy PolicyPrivacy & Cookie SettingsMore Info