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Micro Cap Strategy

The goal of the Hodges Micro Cap Strategy is to seek long-term capital appreciation through primary long only investments in the common stocks of small/micro capitalization companies.

Hodges Overview

  • Family and employee owned and operated
  • In-depth, proprietary research on publicly traded companies
  • Private equity approach to investing in publicly traded companies
  • Investment team interacts with company management teams over 2,000 times a year
  • Each portfolio is actively managed with a bottom-up, fundamental approach
  • Average firm tenure of our portfolio managers and research analysts is 21 years
 
 

Investment Philosophy

The Hodges Micro Cap Strategy's basic investment approach is to make strategic long-term, and to a lesser extent, tactical short-term investments in micro capitalization (“micro-cap”) stocks that we feel are undervalued, under followed and/or offer above average growth prospects. The investment approach targets a flexible style of both value and growth investments.  The Russell Microcap Index is its benchmark. 

 

Performance

Returns (%) as of 06/30/2026 QTD 1 YR 3 YR 5 YR 10 YR Since Inception
Micro Cap - Gross 25.71 43.58 19.58 7.51 13.44 13.00
Micro Cap - Net 25.24 41.44 17.80 5.91 11.75 11.32
Russell Microcap Index 25.62 58.55 23.98 7.08 12.47 12.33
Returns for greater than one year are annualized
Strategy Fact Sheet

Portfolio Management

Our collegial and entrepreneurial culture attracts assertive and driven individuals. The Hodges investment process is a collaborative effort that leverages each team member’s efforts. We are proud to say that each tenured member of the investment team owns a piece of the firm and invests alongside our clients.

Our Team     Our Process

Conference Room 2-1-1
Fact Sheet
Strategies
Mutual Funds
 
 

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