Carillon Tower Advisorsan investment management firm, published its 2025 Q4 investment letter “Carillon Eagle Growth & Income Fund”. A copy of the letter can be downloaded here. 2025 marked a positive period for the equity market. The S&P 500 returned 2.7% in the fourth quarter and ended the year up 17.9%. The year began with potential disruption and increased volatility, while it ended with optimism fueled by strong AI investment, policy clarity and interest rate cuts by the US Federal Reserve (Fed). Market behavior was strongly affected by the communication and technology services sectors. From a return engine perspective, market expansion during the year was driven by profit growth. The firm sees favorable conditions as 2026 approaches and believes it can deliver another year of strong equity returns. The fund has $493.06 million in net assets across 48 holdings. Review the top five holdings in the strategy to learn about their key picks for 2025.

In its Q4 2025 letter to investors, Carillon Eagle Growth & Income Fund highlighted stocks like The Home Depot, Inc. (NYSE:HD). The Home Depot, Inc. (NYSE:HD) is a leading home improvement retailer. The One Month Profitability of The Home Depot, Inc. (NYSE:HD) was 3.04% and its stock lost 5.27% of its value over the past 52 weeks. On February 11, 2026, shares of The Home Depot, Inc. (NYSE:HD) closed at $390.68 per share, with a market capitalization of $388.926 billion.

Carillon Eagle Growth & Income Fund stated the following about The Home Depot, Inc. (NYSE:HD) in its Q4 2025 investor letter:

“The Home Depot, Inc. (NYSE:HD) traded lower after reporting weaker-than-expected same-store sales in the previous quarter. Although weather events boosted results in the previous quarter, the additional demand management expected did not materialize. On a positive note, recent acquisitions continue to perform well and look likely to be a headwind as the business environment improves.”

The Home Depot, Inc. (NYSE:HD) is not on our list The 30 most popular stocks among hedge funds. According to our database, 104 hedge fund portfolios held The Home Depot, Inc. (NYSE:HD) at the end of the third quarter, which was 93 in the previous quarter. While we recognize the potential of The Home Depot, Inc. (NYSE:HD) as an investment, we believe certain AI stocks offer greater upside potential and less downside risk. If you’re looking for an extremely undervalued AI stock that will also benefit significantly from Trump-era tariffs and the onshoring trend, check out our free report on the best short term AI stock.