The London Company Income Equity Strategy names TXN a leading contributor amid a tech sector rebound driven by AI spending.
Texas Instruments Incorporated (NASDAQ:TXN) was highlighted as a top performer in The London Company Income Equity Strategy’s Q2 2026 investor letter. The fund’s portfolio rose 12.3% during the quarter, trailing the Russell 1000 Value Index’s 13.9% gain, as stock selection weighed on returns.
U.S. equities surged in Q2, with the S&P 500 posting its strongest quarter since 2020. A semiconductor rebound and AI infrastructure spending fueled the rally, while a U.S.-Iran peace deal in late June pushed oil prices lower. Technology stocks, initially lagging, led the market by quarter-end.
Despite strong earnings and AI-driven momentum, concerns persist over negative cash flow in major tech firms, high valuations, and geopolitical risks. The fund anticipates modest equity returns ahead, emphasizing quality and active management.