Here’s What Impacted Triumph Financial (TFIN) in Q3

TFIN -0.04% TFIN-P +0.65%

Diamond Hill Capital, an investment management company, released its “Small Cap Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. Markets continued their rally in the third quarter, with small-cap stocks gaining over 12% as measured by the Russell 2000 Index. However, the portfolio trailed the Russell 2000 Index in the quarter, returning 7.93% (net of fees). The relative underperformance was mainly due to the rally being driven by sectors that the portfolio typically does not own. For more information on the fund’s top picks in 2025, please check its top five holdings.

In its third-quarter 2025 investor letter, Diamond Hill Capital Small Cap Strategy highlighted stocks such as Triumph Financial, Inc. (NYSE:TFIN). Triumph Financial, Inc. (NYSE:TFIN) is a financial holding company that offers banking, factoring, payments, and intelligence services. The one-month return of Triumph Financial, Inc. (NYSE:TFIN) was -8.84%, and its shares lost 50.81% of their value over the last 52 weeks. On November 24, 2025, Triumph Financial, Inc. (NYSE:TFIN) stock closed at $53.53 per share, with a market capitalization of $1.272 billion.

Diamond Hill Capital Small Cap Strategy stated the following regarding Triumph Financial, Inc. (NYSE:TFIN) in its third quarter 2025 investor letter:

"Other bottom contributors in Q3 included Triumph Financial, Inc. (NYSE:TFIN), Orion and Ryman Hospitality Properties. Regional bank Triumph Financial focuses on the transportation industry. Shares were pressured during the quarter amid the ongoing freight recession and a high-profile bankruptcy to which Triumph had modest exposure, leading to heightened concerns about credit."

Triumph Financial, Inc. (NYSE:TFIN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 16 hedge fund portfolios held Triumph Financial, Inc. (NYSE:TFIN) at the end of the second quarter, up from 13 in the previous quarter.  While we acknowledge the potential of Triumph Financial, Inc. (NYSE:TFIN) 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.

In another article, we covered Triumph Financial, Inc. (NYSE:TFIN) and shared a bullish thesis on the company. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.