Jacob Fund is a mutual fund company, released its third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The latest quarter showed continued market recovery, with major equity indexes reaching new all-time highs. After uncertainties regarding trade policy, finalized tariffs had a limited economic impact, stabilizing the market and refocusing investors on fundamentals. The fund anticipates a new productivity cycle that will enhance profit margins and earnings growth by keeping labor markets subdued. In addition, the fund will remain focused on companies poised for earnings growth and improved valuation multiples in expectation that asset prices could continue to rise in the near-term. Additionally, you can review the fund’s top 5 holdings to see its best picks for 2025.
In its third-quarter 2025 investor letter, Jacob Fund highlighted stocks such as Circle Internet Group (NYSE:CRCL). Circle Internet Group (NYSE:CRCL) is a financial technology company that provides infrastructure for stablecoin and blockchain applications. The one-month return for Circle Internet Group (NYSE:CRCL) was -17.75%, and its shares lost 23.87% over the last three months. On December 05, 2025, Circle Internet Group (NYSE:CRCL) stock closed at $85.62 per share, with a market capitalization of $21.785 billion.
Jacob Fund stated the following regarding Circle Internet Group (NYSE:CRCL) in its third quarter 2025 investor letter:
“The Jacob Internet Fund added two new positions in the quarter, Circle Internet Group (NYSE:CRCL) and Bed Bath & Beyond. Circle provides digital financial infrastructure and issues the popular USDC stablecoin. USDC is the second largest issued stablecoin and has seen continued growth and increasing market share. Around the world, stablecoins are being used for a growing number of transactions across digital finance, including payments and settlement, which will likely expand the total addressable market for these coins over time. Circle operates under a regulatory framework and provides transparent financial disclosures, which differentiates it from most of its competitors, including the largest stablecoin, Tether. The company also has partnerships with established industry participants, including Coinbase, which we believe supports future growth in this market.”
Circle Internet Group (NYSE:CRCL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 29 hedge fund portfolios held Circle Internet Group (NYSE:CRCL) at the end of the third quarter, compared to 39 in the previous quarter. In Q3 2025, Circle Internet Group’s (NYSE:CRCL) total revenue and reserve income increased by 66% year-on-year to $740 million. While we acknowledge the potential of Circle Internet Group (NYSE:CRCL) 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.
