Palm Valley Capital Management has released its third-quarter 2026 investor letter for the Palm Valley Capital Fund. The fund gained 1.61% during the quarter, outperforming the S&P SmallCap 600 Index, which declined 7.93%, and the Morningstar Small Cap Total Return Index, which fell 5.60%. Treasury bills accounted for 75.5% of the fund’s assets at quarter-end, while its equity holdings returned 4.8%.
The letter examines a market in which small-cap stocks lagged their larger peers even as the S&P 500 approached its highs. The managers draw parallels between sharp stock-price swings in a rising market and conditions during the technology bubble. They also question whether policies aimed at preserving today’s wealth come at the expense of future prosperity, arguing that rising asset prices deepen economic disparities while shifting financial burdens to future generations. Citing federal debt exceeding $40 trillion, the managers frame the debate around how wealth and obligations are distributed across generations, alongside the familiar divide between rich and poor.
In its third-quarter 2026 investor letter, Palm Valley Capital Management mentioned Utz Brands, Inc. (NYSE: UTZ), a Hanover, Pennsylvania-based packaged-food company that manufactures and distributes savory snacks across the United States. Its portfolio includes Utz, Zapp’s, Boulder Canyon, and On The Border, with products sold through grocery stores, convenience stores, warehouse clubs, and other retail channels. On October 29, 2026, its shares closed at $14.28, down 0.07% from the previous trading session, according to historical pricing data, with a market capitalization of approximately $2.06 billion.
Here’s what Palm Valley Capital Management has to say about Utz Brands (NYSE:UTZ):
“In July, portfolio holding Utz Brands (ticker: UTZ), a leading producer of branded salty snacks, agreed to be acquired by Intersnack Group for approximately $2.9 billion. The $14.25 per share cash offer represented a 91% premium to UTZ’s stock price prior to the deal being announced. We sold the shares shortly after the announcement as the stock price exceeded our calculated valuation.”
In a recent update, Utz Brands, Inc. (NYSE: UTZ) announced that it will release its third-quarter 2026 financial results on November 6, 2026, before the market opens. The company will not hold an earnings call or publish an investor presentation because of its pending transaction with Intersnack Group. Under the agreement announced in July, Intersnack will acquire all outstanding Class A shares for $14.25 per share in cash, valuing the business at approximately $2.9 billion, including debt. The transaction is expected to close in the fourth quarter of 2026, subject to shareholder approval and other closing conditions. Upon completion, Utz will become privately held, with Intersnack and the founding Rice and Lissette family each owning 50%.
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Disclosure: No material interests to disclose. This article was originally published on Global Market Bulletin.
