Stephens Investment Management Group: Q2 Portfolio Shifts

Stephens Investment Management Group LLC saw activity across its holdings during the second quarter (Q2) ending June 30, 2026. The firm's overall portfolio allocation remains dominated by Technology and Industrials sectors.

Purchases in Q2

Stephens Investment Management Group demonstrated significant buying activity in several areas during Q2:

• In the Encore Capital Group (ECPG), they added a large position, increasing holdings by over 796,000 shares.
• They also made substantial additions to their stake in Kratos Defense & Security Solutions (KTOS), acquiring nearly 815,000 more shares than previously held.
• The investment firm significantly boosted its position in Twist Bioscience (TWST) by purchasing all the shares that were available for acquisition during this period.
• In addition, they acquired a considerable amount of Dutch Bros Coffee Inc. (BROS), taking full ownership of any new shares issued or becoming available.

Sales and Reductions in Q2

Conversely, Stephens Investment Management Group reduced its exposure in other sectors during the quarter:

• The firm sold a large portion of its holdings in Encore Capital Group (ECPG), decreasing shares by nearly 79.65%.
• They also significantly trimmed their position in EZCORP Inc. (EZPW), reducing holdings by over a quarter.
• In the Industrials sector, they sold shares of Herc Holdings Inc. (HRI), which represented an acquisition during Q2 but was also divested significantly in this period.

Technology Sector Focus

The Technology sector remains a cornerstone of Stephens' portfolio, accounting for 25.97% as of June 30th according to the available data. Notable purchases included Encore Capital Group (ECPG), Kratos Defense & Security Solutions (KTOS), and Twist Bioscience (TWST). However, the data also shows significant reductions in holdings like EZCORP Inc. (EZPW) and Tractor Supply Co (TSCO), which are classified under Consumer Cyclical, not Technology.

Industrials Sector Activity

The Industrials sector allocation saw mixed activity. Holdings in Kratos Defense & Security Solutions (KTOS), Herc Holdings Inc. (HRI), and Mirion Technologies Inc. (MIR) were increased, while the position in Herc Holdings was notably reduced later in the period.

Healthcare and Consumer Sectors

The Healthcare sector experienced a net reduction due to sales outpacing purchases. The firm sold shares of Ligand Pharmaceuticals Inc. (LGND), Repligen Corp (RGEN), and Twist Bioscience during Q2, although they also acquired shares of other Healthcare companies like Exelixis Inc. (EXEL).

The Consumer Cyclical sector saw both new purchases and exits from existing positions. The firm added significant stakes in Dutch Bros Coffee and Tractor Supply Co, while divesting large portions of its holdings in EZCORP Inc. (EZPW) and reducing its position in Virtu Financial (VIRT).

Financial Services Sector Changes

In the Financial Services sector, Stephens Investment Management Group focused on acquiring new positions like EZCORP Inc. (EZPW) and Virtu Financial (VIRT), while simultaneously selling off substantial portions of its holdings in Encore Capital Group (ECPG) and EZCORP Inc. (EZPW). The firm also sold shares previously held of RBC Bearings (RBC) and exited positions in other companies like Titan Machinery Inc. (TITN).

The portfolio's overall structure indicates active management, with the firm holding 160 different stocks as of Q2 2026.