Hedge fund Conestoga Capital cites FPS’s record backlog and margin expansion as key drivers for its Q2 2026 position addition.
Conestoga Capital Advisors added Forgent Power Solutions (NYSE:FPS) to its SMid Cap composite in Q2 2026, citing accelerating market share gains and exposure to AI-driven infrastructure investment. FPS, which designs electrical distribution equipment for data centers and industrial facilities, closed at $38.49 on August 5, 2026, valuing the company at $11.72 billion.
The stock posted a one-month return of -15.28%, though Conestoga highlighted FPS’s expanding margins and record backlog as catalysts for long-term growth. The firm noted strong demand and differentiated engineering capabilities position FPS to outpace end-market growth while boosting cash flow.
FPS is held by 76 hedge funds, per recent filings, though it remains outside the top 40 most popular stocks among hedge funds heading into 2026.