Increased Demand Lifted Universal Technical Institute (UTI)
Wasatch Global Investors, an asset management company, released its “Micro Cap Fund” Q1 2026 investor letter. A copy of the letter can be downloaded here. The Wasatch Micro-Cap Fund—Investor Class fell 3.11% in Q1 2026 but outperformed the Russell Microcap Growth benchmark, which declined 4.25%. Sectors like industrials, consumer discretionary, and financials contributed positively to the fund’s performance, while information technology detracted. The US-Iran conflict and concerns about AI disruption led to market volatility in the quarter. The fund maintains a balanced risk portfolio, with strong fundamentals positioning it for long-term growth. In addition, you can check the Fund’s top 5 holdings for its best picks for 2026.
In its first-quarter 2026 investor letter, Wasatch Micro Cap Fund highlighted stocks like Universal Technical Institute, Inc. (NYSE:UTI). Universal Technical Institute, Inc. (NYSE:UTI) is an educational institution that provide training and support services for students in transportation, skilled trades and healthcare education programs. On June 18, 2026, Universal Technical Institute, Inc. (NYSE:UTI) closed at $40.35 per share. One-month return of Universal Technical Institute, Inc. (NYSE:UTI) was 0.72%, and its shares gained 21.10% over the past 52 weeks. Universal Technical Institute, Inc. (NYSE:UTI) has a market capitalization of $2.22 billion.
Wasatch Micro Cap Fund stated the following regarding Universal Technical Institute, Inc. (NYSE:UTI) in its Q1 2026 investor letter:
"Leading positive contributors included a pair of for-profit education companies, Lincoln Educational Services Corp. (LINC) and Universal Technical Institute, Inc. (NYSE:UTI). Both are viewed as AI beneficiaries, given rising demand for training in skilled areas of employment that don’t require a college degree and that are less threatened by AI than many white-collar professions. In addition, the buildout of AI and cloud-services data centers has led to increased employment opportunities for skilled tradespeople and technicians. This positive demand backdrop is reflected in Lincoln’s ongoing aggressive expansion of its footprint through the addition of new campuses."
Universal Technical Institute, Inc. (NYSE:UTI) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 26 hedge fund portfolios held Universal Technical Institute, Inc. (NYSE:UTI) at the end of the first quarter, compared to 33 in the previous quarter. While we acknowledge the potential of Universal Technical Institute, Inc. (NYSE:UTI) 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.
In another article, we covered Universal Technical Institute, Inc. (NYSE:UTI) and shared the list of best small cap US stocks to buy. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.