Polen Capital's Trades and Holdings in Q1 2026

Breaking down the stocks Polen Capital bought, sold, and held in Q1 2026, including their holdings at the end of the quarter. All data sourced from Polen Capital's 13F filed on May 14, 2026.

Who is Polen Capital?

Polen Capital is a global investment management firm founded in 1979, specializing in high-conviction growth strategies across large-cap, small-cap, and emerging markets portfolios. Known for its disciplined approach and low turnover, Polen has established a strong track record of outperformance over multiple market cycles. The firm's investment philosophy centers on identifying businesses with sustainable competitive advantages, superior financial strength, and proven management teams that can deliver consistent, above-average earnings growth.

Polencapital.com
Wikipedia on Polen Capital
Q1 '26 13F filed with SEC

Holdings in Q1 2026

Current Investment Strategy

Polen Capital, the Boca Raton-based quality-growth specialist, stuck to its high-conviction, low-turnover playbook through the market turbulence of early 2026, using the AI-disruption and Middle East-driven sell-off to add semiconductor and software exposure, initiating stakes in Meta, Lam Research, ASML, Rollins and DigitalOcean while exiting ICON, Monday.com, Globant and its iShares Core S&P 500 position. The firm leaned further into "mission-critical" businesses with durable competitive moats and recurring revenue across the semiconductor supply chain and platform-style communication-services names, reflecting its long-standing conviction that steady, above-average earnings compounders will outperform over a full market cycle despite short-term volatility.

New Investments

Meta

Polen Capital bought $272.71M of Meta in Q1 2026. Over the last 12 months, the company has delivered solid fundamentals, with trailing revenue growth of about 16% and net income up roughly 35%, and Q2 2026 showing accelerated revenue growth of 28% year over year to $60.8 billion driven by strong ad demand and higher pricing. However, earnings quality deteriorated this quarter: adjusted EPS fell about 13% year over year to $6.18, operating margin compressed to roughly 31% from around 43% a year ago, and total expenses surged 55% on heavy AI infrastructure spending plus $2.4 billion in legal charges and $1.2 billion of severance. Near term, the stock has come under pressure as free cash flow dropped to just $0.8 billion on capex of roughly $31 billion, Q3 revenue guidance of about $62.5 billion sits ~1% below Street expectations, and shares fell high-single digits after the print, but management's ongoing AI investments and rising engagement (Family DAP up 3% to 3.6 billion) support a constructive long-term outlook.

• Q2 2026 revenue grew 28% year over year to $60.8 billion, exceeding consensus expectations of around $60.2 billion by roughly 1%..
• Adjusted EPS in Q2 declined about 13% year over year to $6.18, missing analyst forecasts in the $7.17–$7.40 range by roughly 14–17%..
• Operating margin compressed from about 43% a year ago to roughly 31% in Q2 2026 as total expenses jumped 55% year over year to roughly $42 billion, including $2.4 billion in legal charges and $1.2 billion in severance..

Lam Research

Polen Capital bought $225.3M of Lam Research in Q1 2026. The purchase comes as the company is in a clear acceleration phase: the June 2026 quarter delivered record revenue of $6.72B, up 15% sequentially and 30% year over year, with record diluted EPS of about $1.82 and operating margin near 38%, all above consensus expectations. This builds on a strong March 2026 quarter in which revenue grew 9% QoQ to $5.84B, GAAP diluted EPS rose 15% QoQ to $1.45 (or $1.47 non‑GAAP), and gross margin and operating margin expanded to roughly 50% and 35% respectively, driven by AI‑related wafer fabrication demand and increasing memory (NAND) investments. With gross margin rising from about 49.8–49.9% in March to roughly 51.7–52% in June—the highest level in around 20 years—and management lifting its outlook on sustained AI and memory spending, recent earnings momentum and guidance revisions are supportive of the shares gaining value relative to many semiconductor equipment peers.

• Revenue grew 15% sequentially and 30% year over year in the June 2026 quarter to $6.72B, marking the fourth straight record quarter of sales..
• GAAP diluted EPS increased from $1.45 in March 2026 to roughly $1.81–1.82 in June, a rise of about 25% QoQ, with non‑GAAP EPS setting a new record..
• Gross margin expanded from about 49.8–49.9% in March 2026 to roughly 51.7–52% in June, the highest level in approximately 20 years, while operating margin improved from 35.0% to around 37–38%..

Rollins

Polen Capital bought $116.31M of Rollins in Q1 2026. Rollins has extended its long revenue-growth streak through the last two quarters, with Q2 2026 revenue up 7.9% year over year to roughly $1.1 billion, although growth decelerated from Q1 2026's 10.2% increase to $906.4 million and margin pressure has emerged. In the current quarter, adjusted EPS grew about 6.7% year over year to $0.32, GAAP EPS to $0.30, and net income to about $144 million, but both earnings and revenue modestly missed consensus while operating margin fell 110 bps to 18.7%, underscoring slower operating leverage despite solid top-line growth. Management responded by modestly cutting its full-year organic growth outlook after softer residential demand, yet Q2 organic revenue still rose 5.7% (with residential up 6.6%, commercial 8.6%, and termite/ancillary 10.5%) and free cash flow conversion remained strong at roughly 115%, which supports the longer-term investment case even as near-term sentiment absorbs the Q2 miss.

• Q2 2026 revenue up 7.9% year over year to about $1.08 billion, versus Q1 2026 revenue growth of 10.2% to $906.4 million..
• Q2 operating margin down 110 bps year over year to 18.7%, following Q1 margin compression from 17.3% in 2025 to 16.1% in 2026..
• Q2 adjusted EPS increased 6.7% year over year to $0.32 (GAAP EPS $0.30), while adjusted EBITDA rose 2.2% to about $236 million and free cash flow margin declined from 16.8% to 15.4%..

Asml Hldg Nv

Polen Capital bought $21.23M of Asml Hldg Nv in Q1 2026. Over the last two quarters, ASML has continued to gain operational momentum, with revenue, margins and earnings all trending higher, underscoring its role as the key enabler of advanced semiconductor manufacturing. In the current quarter (Q2 2026), net sales rose to €9.3 billion, gross margin expanded to 54.0%, and net income increased to €2.9 billion, all above guidance and consensus as strong demand for leading‑edge lithography tools and high‑margin Installed Base Management services drove sequential and year‑over‑year growth. Management raised full‑year 2026 sales guidance to €43–45 billion and guided Q3 revenue to €11–12 billion, while shares are up about 145% over the last year but have entered a short‑term downtrend after an ~8.5% post‑earnings pullback, suggesting fundamentals are improving even as the market consolidates a very strong run.

• Q2 2026 net sales reached €9.3 billion, up from approximately €8.8 billion in Q1 2026 (about 6% sequential growth) and roughly 20–21% higher than the year‑ago quarter..
• Q2 2026 basic EPS was €7.59, compared with €7.15 in Q1 2026 and up around 29–34% year over year, beating analyst estimates by about €0.60 per share..
• ASML now guides full‑year 2026 net sales to €43–45 billion and Q3 2026 revenue to €11–12 billion, while the stock is up about 145% over the last 12 months and roughly 73% year‑to‑date..

DigitalOcean

Polen Capital bought $8.25M of DigitalOcean in Q1 2026. Over the last two quarters, DigitalOcean has delivered accelerating growth and consistent earnings beats, with Q2 2026 revenue reaching $281M (up 29% year-over-year) and adjusted EPS of $0.45, roughly 70–80% above consensus, driven by surging AI and large-customer demand. Q1 2026 also showed strong execution with EPS of $0.44, beating estimates by about 91%, and together with Q2 it has lifted trailing twelve-month EPS to roughly $2.19 while maintaining a robust adjusted EBITDA margin near 40%. Looking ahead, management has raised Q3 guidance to revenue of roughly $305.5M (about 2% above Street) and continues to build momentum in high-value AI and $1M+ accounts—both growing over 200% year-over-year—which, coupled with net income of around $35M and ARR of about $1.13B, supports a constructive fundamental outlook despite recent share price volatility.

• Q2 2026 revenue $281M, up 29% year-over-year, with billings of $327.9M growing 46.2% and ARR reaching about $1.13B (up 29% year-over-year)..
• Adjusted EPS was $0.44 in Q1 2026 (about 91% above estimates) and $0.45 in Q2 2026 (roughly 70–80% beat), supporting trailing four-quarter EPS of around $2.19 and adjusted EBITDA margin near 40%..
• AI customer ARR rose to $234M (up 212% year-over-year), $1M+ customer ARR reached $259M (up 214% year-over-year), and incremental ARR hit a record $93M (up 191% year-over-year), highlighting rapid expansion in higher-value segments..

Fastly

Polen Capital bought $6.93M of Fastly in Q1 2026. Over the last four quarters, Fastly has delivered accelerating top-line growth, with revenue rising 23% year-over-year in Q4 2025 to $172.6M, 19.8% in Q1 2026 to $173M, and then 23% again in the current Q2 2026 quarter to a record $183.3M, while gross margins expanded into the mid‑60% range and the business turned consistently profitable. In Q2 2026, performance is clearly gaining rather than declining, with record non‑GAAP gross margin of 65.8%, operating income of $27M (a record 14.7% operating margin), EPS of $0.15 versus Street expectations of $0.03, and improving customer economics evidenced by LTM net retention of 117%, remaining performance obligations up 38% year-over-year to $341M, and six straight quarters of positive free cash flow. Recent catalysts that could support further value creation include very strong demand for higher-margin security (revenue up 43% year-over-year) and "Other" products such as Compute and Observability (up 69%), repeated beats and raises versus guidance, and a visible pipeline of contracted revenue and cash generation that has already driven sharp share-price reactions to prior earnings surprises.

• Q2 2026 revenue grew 23% year-over-year to a record $183.3M, versus guidance of $170M–$176M.
• Q2 2026 non‑GAAP gross margin reached a record 65.8%, up 680 bps from Q2 2025 and above the midpoint guidance of 64%.
• Q2 2026 EPS was $0.15 vs consensus $0.03 (a 400% surprise), with operating income of $27M and operating margin of 14.7%.

iShares

Polen Capital bought $5.44M of iShares in Q1 2026. Over the last two quarters, iShares’ ETF franchise has continued to gain scale and market share, with platform assets rising above $6 trillion in Q2 2026 on the back of record ETF inflows and strong performance in core equity and fixed income strategies relative to key index peers. Momentum has accelerated in the current quarter, as Q2 2026 saw approximately $192 billion of net inflows across the broader business, driven largely by ETFs, marking a fifth consecutive quarter of double‑digit organic base fee growth and supporting higher earnings power for the issuer and its products. Recent catalysts for the security include more than $1 trillion of industry ETF inflows in H1 2026, outsized flows into flagship iShares Core S&P 500 and Treasury exposures versus rival products, and new launches in infrastructure and Nasdaq 100 strategies, all of which underpin a constructive valuation backdrop over the last year.

• Record Q1 2026 net inflows of $132 billion into iShares ETFs, roughly 60% higher year-on-year..
• iShares ETF platform assets surpassed $6 trillion in Q2 2026, contributing to approximately 8% organic base fee growth over the last 12 months..
• Active iShares ETFs added around $19 billion of net inflows in Q1 2026, with segment assets more than 4x higher than two years ago to above $110 billion..

AstraZeneca

Polen Capital bought $5.12M of AstraZeneca in Q1 2026. Over the last two quarters, AstraZeneca has delivered solid fundamental performance, with H1 2026 revenue up about 6% and core EPS up 11%, driven by double‑digit growth in oncology and rare disease while respiratory and immunology helped offset losses from generic competition in Farxiga and Brilinta. In the current quarter, Q2 2026 EPS of roughly $2.63 (around £1.98 per share) beat consensus by about 6%, revenue of about $15.4B was just under forecasts, and net income eased to roughly £1.87B from about £2.29B in Q1 even as the core business continued to grow. Despite these earnings beats and management reaffirming annual and long‑term guidance, the shares are trading below early‑year highs around 14,000 GBp and have lagged some large‑cap pharma peers, though recent catalysts—including a Q2 profit beat and dismissal of Bristol Myers Squibb merger rumours that drove about a 6% single‑day gain—could support a re‑rating if execution on the pipeline and oncology franchises remains strong.

• H1 2026 revenue up about 6% year over year, with core EPS up roughly 11% driven by innovative medicines..
• Q2 2026 EPS of approximately $2.63 (around £1.98) beat consensus by about 6%, while revenue of about $15.4B missed estimates by roughly 0.5%..
• London‑listed shares have fallen from early‑February levels near 14,040 GBp to recent prices around 11,890 GBp, a decline of roughly 15% over the last two quarters..

Praxis Precision Medicines

Polen Capital bought $3.24M of Praxis Precision Medicines in Q1 2026. This purchase adds exposure to a high‑beta, development‑stage CNS company whose shares are trading around $380, just below a new 12‑month high set after its Q2 2026 earnings, reflecting improving sentiment as the stock gained roughly 16–19% on the print despite continued operating losses.. Over the last two quarters, net loss narrowed from about $92.6M in Q1 2026 to roughly $83.7M in Q2, while operating expenses grew to $96.9M (up 27.5% year over year) as management invests heavily in R&D and commercial build‑out ahead of anticipated product launches.. The key drivers of value this quarter are a narrower‑than‑expected EPS loss of -2.87 versus consensus -3.67 (a 21.8% beat), two NDAs under FDA review, and a strengthened cash position of $1.4B (vs. $926.1M at year‑end 2025) that extends runway into at least 2028 and positions the company for upcoming commercialization catalysts..

• Q2 2026 EPS was -2.87 versus consensus -3.67, a beat of $0.80 or 21.8%, which drove a single‑day share price jump of about 16–19% to roughly a new 12‑month high near $375..
• Net loss improved from about $92.6M in Q1 2026 to roughly $83.7M in Q2 2026, even as operating expenses rose to $96.9M (up 27.5% year over year) with R&D at $69.4M and G&A at $27.5M..
• Cash, cash equivalents and marketable securities increased to $1.4B at June 30, 2026 from $926.1M at December 31, 2025, largely due to a $621.2M follow‑on offering, giving management confidence that runway extends into at least 2028..

SiTime

Polen Capital bought $2.45M of SiTime in Q1 2026. This purchase comes as SiTime has delivered two consecutive quarters of accelerating growth, with Q2 2026 revenue rising to $157.4M (up 127% year-over-year and 39% sequentially) and non-GAAP EPS expanding to $2.34. Building on Q1 2026 revenue of $113.6M (up 88.3% year-over-year) and non-GAAP EPS of $1.44, the company has moved from a GAAP net loss of $5.2M in Q1 to a GAAP net income of $18.2M in Q2, reflecting strong operating leverage and margin expansion. Recent upside surprises versus consensus forecasts and raised Q3 2026 EPS guidance to $3.50–$3.65, supported by robust AI and datacenter demand, are key near-term catalysts that investors often associate with multiple expansion and share price strength.

• Q2 2026 revenue $157.4M, up 127% year-over-year and 39% sequentially.
• Q2 2026 non-GAAP EPS $2.34 versus Q1 2026 non-GAAP EPS of $1.44, with non-GAAP gross margin at 67.1% and operating margin at 34%.
• Q1 2026 revenue $113.6M, up 88.3% year-over-year, with non-GAAP net income of $38.9M and non-GAAP operating income of $31.8M.

State Str Spdr S&P 500 Etf T

Polen Capital bought $2.44M of State Str Spdr S&P 500 Etf T in Q1 2026. Over the last two quarters, the ETF has delivered strong absolute and relative performance: Q2 2026 NAV total return was about 15%, lifting YTD gains to roughly 10–14% and 1‑year returns to about 22–23%, ahead of or in line with large‑blend peers and broad US equity benchmarks. In the current quarter, returns were roughly flat through July (Q3 QTD about -0.06% as of July 31) before a price recovery of roughly 3–4% through mid‑August, indicating the fund is modestly gaining as the S&P 500 grinds higher after its strong first‑half rally. Given its role as a diversified proxy for the S&P 500, continued upside in index earnings—particularly from mega‑cap technology and AI‑linked constituents—and a supportive interest‑rate backdrop are key recent and prospective drivers that can translate directly into further price appreciation and dividend growth for holders of the ETF.

• Q2 2026 NAV total return approximately 15.20%, compared with YTD return of about 10.21% as of June 30, 2026..
• YTD total return 13.61% vs category 13.41%, and 1‑year total return 22.58% vs category 22.21%..
• ETF price up roughly 20.50% over the last 12 months and about 4.69% over the past 3 months, based on recent trading around $777..

Vicor

Polen Capital bought $2.24M of Vicor in Q1 2026. Over the last two quarters, revenue has accelerated from $113.0M in Q1 2026 to $143.4M in Q2 2026 (a 26.9% sequential increase), with gross margin expanding from 55.2% to 58.0% and EPS more than doubling from $0.44 to $1.04, signaling a clear inflection in profitability driven partly by high‑margin licensing income. Q2 performance was underpinned by a 45% sequential surge in Advanced Products revenue to $94.2M (now 65.7% of sales) and backlog growth to $380M (up 26% sequentially and 145% year over year), reflecting strengthening demand in AI and high‑performance computing end markets and giving the company increasing operating leverage. Over the past 12 months, earnings have been boosted by one‑off gains including roughly $37.6M, yet shares are up about 95.9% year‑to‑date and cash has increased to $453.6M, leaving the company well‑funded to invest in fab reconfiguration while its underlying earnings growth (~16% annually) remains broadly in line with industry peers.

• Q2 2026 revenue increased 26.9% sequentially to $143.4M, versus $113.0M in Q1 2026..
• Q2 2026 EPS was $1.04, up from $0.44 in Q1 and beating consensus by roughly 60%..
• Backlog reached $380M in Q2 2026, rising 26% quarter‑over‑quarter and 145% year‑over‑year, with Advanced Products revenue up 45% sequentially to $94.2M..

AZZ

Polen Capital bought $1.81M of AZZ in Q1 2026. AZZ, a metal coatings and infrastructure solutions provider, has delivered a roughly 37% share price gain over the last 12 months as consistent low‑ to mid‑single‑digit revenue growth and resilient margins have supported investor confidence.. In the most recent quarter, revenue grew 6.3% year over year to $448.5M and adjusted EPS rose to $1.85, beating consensus by 3.2% and 9.6% respectively and driving a roughly 7.4% jump in the share price on the day, following an earlier FY2026 quarter where a small revenue and EPS miss had pressured the stock.. With Q4 FY2026 revenue up 9.4% year over year and EPS surprising positively by about 9.8%, management has now raised full‑year revenue guidance to $1.83B (around 4.3% above Street) and continues to highlight double‑digit (10.9%) growth in Metal Coatings driven by infrastructure‑related spending as major catalysts for further value creation..

• Latest quarter revenue of $448.5M, up 6.3% year over year and 3.2% above analyst estimates..
• Latest quarter adjusted EPS of $1.85 increased from $1.78 a year ago and beat consensus by 9.6%..
• Shares are up about 41.4% year‑to‑date, rising from $107.12 at the start of the year to around $151.49..

AAR

Polen Capital bought $1.77M of AAR in Q1 2026. Over the last two quarters, the company has clearly been gaining momentum: in the latest reported quarter it generated revenue of $928 million, up 26.1% year over year, with non-GAAP EPS of $1.53 coming in 10.5% above consensus and next-quarter revenue guidance of $902.3 million, about 4.4% ahead of analyst expectations, building on the prior quarter’s $845.1 million of sales and 24.6% year-over-year growth. This acceleration is being driven primarily by robust demand from commercial customers and double-digit growth in new parts Distribution within the Parts Supply segment, which has expanded adjusted operating margin to 10.2% and lifted adjusted EBITDA to $97 million with margin rising to 12.1% in recent quarters. Fundamentals over the last twelve months look strong: fiscal 2026 revenue grew 19.0% to $3.308 billion, while the stock has risen 84.86% over the past year to around $148, near its $154 52-week high, as investors reward consistent double-digit growth, margin expansion, and repeated earnings surprises including a 2.31% aftermarket move higher following Q2 results.

• Latest quarter revenue of $928 million, up 26.1% year over year and beating analyst estimates by 3.9%.
• Fiscal 2026 revenue increased 19.0% year over year to $3.308 billion, with Q3 2026 sales of $845.1 million up 24.6% versus the prior year.
• Share price is up 84.86% over the past 12 months and currently trades around $148, close to the 52-week high of $154.

Lindblad Expeditions

Polen Capital bought $1.77M of Lindblad Expeditions in Q1 2026. Over the last 12 months, the company has delivered double‑digit revenue growth (Q1 up 15.7%, Q2 up 19% year over year) and expanding operating margins (Q1 margin 7.5% vs roughly 5.8% two‑year average), outpacing many cruise peers on growth even as its cash profitability remains below the group. Over the last two quarters, results have strengthened: Q1 2026 revenue reached $208M with GAAP EPS of $0.09, and Q2 revenue climbed to $199.2M with loss per share narrowing to -$0.02, while H1 adjusted EBITDA increased about 23% year over year to $67.3M. In the current quarter, demand is clearly gaining: Q2 occupancy reached a decade‑high 91%, net yield per available guest night rose 4% to $1,294, segments grew 16–23%, and management raised full‑year revenue guidance to $830–$860M, driving a pre‑market share price jump of about 13% despite a still‑leveraged balance sheet of roughly $675M in debt.

• Q2 2026 tour revenues increased 19% year over year to $199.2M, while H1 2026 tour revenues grew 17% to $407.3M..
• Q1 2026 operating margin was 7.5%, up 1.5 percentage points year over year, versus a two‑year average margin of about 5.8%..
• H1 2026 adjusted EBITDA rose about 23% year over year to $67.3M, with Q2 adjusted EBITDA up 31% to $32.5M and an adjusted EBITDA margin of 16.3%..

Littelfuse

Polen Capital bought $1.68M of Littelfuse in Q1 2026. The purchase adds exposure to a specialist in circuit protection and power control that has delivered accelerating growth and margin expansion, with revenue up 12.2% year over year in Q4 2025 and 20% in Q2 2026 alongside a Q2 adjusted EBITDA margin of 23.6%. Over the last two quarters, the company has been clearly gaining momentum: Q1 2026 EPS of $3.31 beat expectations by roughly 16.96%, and Q2 adjusted EPS of $4.19 beat by about 10.7% as broad-based demand in data center, industrial, and transportation markets drove both top-line growth and operating leverage. Strong cash generation (Q2 free cash flow up 75% year over year and year-to-date free cash flow conversion of 118%) and a 7% dividend increase, together with contributions from the recent Basler industrial acquisition, indicate the company is improving in quality and value and should compare favorably with many industrial electronics peers.

• Q2 2026 revenue was $739 million, up 20% year over year with 14% organic growth and a 23.6% adjusted EBITDA margin (+220 bps YoY)..
• Adjusted diluted EPS rose 47% year over year to $4.19 in Q2 2026, beating consensus by about $0.41 or 10.7% (vs. $3.78). .
• Q2 2026 free cash flow was $127 million, up 75% year over year, with year-to-date free cash flow conversion of 118% and a quarterly dividend of $0.80 per share (annualized $3.20, 7% higher year over year)..

Shake Shack

Polen Capital bought $1.67M of Shake Shack in Q1 2026. Over the last two quarters, the company has accelerated top-line growth, with Q2 2026 revenue up 17.2% year over year to $417.6M and same-Shack sales up 3.5%, driven by positive traffic and continued new unit expansion. Despite restaurant-level profit margin compressing by about 90 bps year over year to 23.0% of Shack sales due to elevated beef and operating costs, Q2 net income improved sequentially to $15.7M (GAAP EPS $0.37, adjusted EPS $0.43), a sharp rebound from break-even results in Q1. With 22 consecutive quarters of positive same-Shack sales, rising digital sales now above 40% of Shack sales, and ongoing global openings, the company is competitively positioned in fast-casual burgers and could see valuation upside as cost pressures normalize and recent earnings beats support stronger investor sentiment.

• Q2 2026 revenue grew 17.2% year over year to $417.6M, versus $366.7M in Q1 2026 (up 14.3% year over year)..
• Q2 2026 adjusted EPS was $0.43, beating consensus by $0.10 and up from Q1’s roughly break-even EPS of about $0.00..
• Q2 2026 restaurant-level profit was $92.7M with a margin of 23.0% of Shack sales, down about 90 bps from the prior-year quarter..

WisdomTree

Polen Capital bought $1.59M of WisdomTree in Q1 2026. Over the last 12 months, WisdomTree has evolved into a higher‑growth, higher‑margin asset manager, with AUM reaching a record $162.9 billion in Q2 2026, up 29.2% year over year and 6.7% sequentially on the back of $3.1 billion of net inflows and the Atlantic House acquisition. In the current quarter, operating revenues rose 11% quarter on quarter and 57.3% year on year to $177.2 million, while adjusted EPS increased to $0.31 from $0.18 a year ago and the adjusted operating margin expanded to 42.6%, highlighting that the company is gaining rather than declining over recent periods. Recent market reaction has been positive—shares are up 4.2% over the past month versus the S&P 500’s ‑0.5%, as investors respond to six consecutive quarters of record AUM, a year‑to‑date annualized organic growth rate of 13%, balance‑sheet de‑risking via retirement of $126.9 million of convertible notes, and ongoing capital returns through a $0.03 per‑share dividend and $25.9 million of share repurchases.

• Q2 2026 operating revenues of $177.2 million, up 11.1% quarter on quarter and 57.3% year on year..
• Quarter‑end AUM of $162.9 billion, increasing 6.7% sequentially and 29.2% over the last year, supported by $3.1 billion of net inflows..
• Adjusted EPS of $0.31 in Q2 2026, up from $0.18 in the prior‑year quarter, with adjusted operating margin reaching 42.6%..

Terawulf

Polen Capital bought $1.53M of Terawulf in Q1 2026. Over the last two quarters, the company’s topline has accelerated, with Q2 2026 revenue rising to $44.8M (up about 32% sequentially from Q1’s $34.0M but roughly 6% below Q2 2025), driven by high‑performance computing lease revenue of $31.9M that now accounts for 71% of total sales as the business pivots away from bitcoin mining. This strategic shift is gaining traction fundamentally—HPC revenue grew 52% QoQ and contracted capacity was bolstered by CB‑3 coming online, an approximately $19B Anthropic lease, and the Muskie acquisition—yet reported performance is declining, with Q2 net loss widening to about $939.9M (EPS -$1.94) on large non‑cash warrant revaluation and higher interest expense, even as earnings have fallen at an average rate of 64% annually versus industry growth of 25% and the stock remains up about 257% over 12 months and 57% year‑to‑date.

• Q2 2026 revenue was $44.8M, up 31.8% sequentially from Q1 2026’s $34.0M, but down about 6% from Q2 2025’s $47.6M..
• High‑performance computing lease revenue reached $31.9M in Q2 2026, a 52% QoQ increase from $21.0M in Q1 and representing 71% of total revenue..
• Q2 2026 net loss was approximately $939.9M (EPS -$1.94), including a $755.7M non‑cash warrant fair‑value loss and $56.4M in interest expense..

Added, Trimmed, and Exited

Added

Polen Capital added meaningfully to just two existing positions this quarter: CoStar Group saw shares more than double, rising from 4,890,936 to 12,570,368 (+7,679,432 shares), with position value climbing from $328.87M to $507.09M, while ServiceNow shares increased from 5,680,788 to 7,269,453 (+1,588,665 shares), even though the position's value declined from $870.24M to $760.02M due to share price weakness.
What it means: The conviction add to CoStar Group stands out as the firm's clearest high-confidence bet this quarter, suggesting management sees the commercial real estate data platform as significantly undervalued or poised for accelerating growth. The ServiceNow add is more nuanced—buying more shares while the position value fell indicates Polen is using price weakness as a buying opportunity, effectively "averaging down" on a name it still believes in despite near-term multiple compression, a classic growth-investor response to a temporary de-rating rather than a fundamental thesis change.

Trimmed

Polen Capital trimmed eighteen existing positions this quarter, with the largest share reductions in Amazon (-4,756,982 shares, -59.4% value), Abbott (-3,947,149 shares, -99.7% value), Boston Scientific (-3,439,813 shares, -90.5% value), Oracle (-2,161,239 shares, -47.2% value), Paycom (-1,804,197 shares, -98.7% value), Starbucks (-1,729,820 shares, -20.7% value), Zoetis (-1,339,593 shares, -28.7% value), Adobe (-1,333,720 shares, -99.4% value), NVIDIA (-1,223,865 shares, -28.0% value), Alphabet (-1,071,484 shares, -33.0% value), Microsoft (-1,064,097 shares, -44.3% value), Visa (-929,582 shares, -37.6% value), Shopify (-895,132 shares, -35.5% value), Broadcom (-834,070 shares, -31.7% value), Airbnb (-756,983 shares, -30.2% value), Uber (-647,865 shares, -28.0% value), Mastercard (-590,339 shares, -36.7% value), and Accenture (-527,959 shares, -46.8% value).
What it means: The breadth and depth of these trims—nearly the entire prior portfolio, including mega-cap anchors like Microsoft, NVIDIA, Alphabet, and Amazon—combined with the overall portfolio shrinking from $23.42B to $14.46B (a roughly 38% decline), points to a broad, deliberate de-risking rather than isolated stock-specific concerns. Positions like Abbott, Paycom, and Adobe were cut by more than 98-99%, effectively near-exits, suggesting Polen lost conviction in these specific theses even as it kept a токен stake. This wholesale reduction across both mega-cap tech and diversified sectors (healthcare, payments, travel, software) suggests the firm may be raising cash, rotating into the new high-conviction names disclosed this quarter (Meta, Lam Research, Rollins), or responding to a shift in its broader macro or valuation outlook rather than a name-by-name reassessment.

Exited

Polen Capital fully liquidated twenty positions this quarter, including Icon, the old-class ASML (ticker ASML), Monday.com, iShares Core S&P 500 ETF (IVV), Globant, SPDR S&P 500 ETF Trust (SPY), MakeMyTrip, PDD Holdings, Karooooo, Huron Consulting Group, Workday, BWX Technologies (put position), Alphatec, Vanguard Total Stock Market ETF (VTI), Bloom Energy (put position), Red Violet, Thermo Fisher, Pagaya Technologies, Grail, and Liquidia.
What it means: This is an unusually large batch of full exits, touching index-tracking ETFs (IVV, SPY, VTI), several smaller-cap growth names, and notably the firm's prior ASML share class—only to be replaced this quarter by a new-class Asml Hldg Nv position, indicating a technical share-class swap rather than an actual reduction in ASML conviction. The elimination of broad market ETFs alongside dozens of individual equity exits suggests Polen consolidated its tracking/cash-management vehicles while also cutting a wide swath of smaller, likely lower-conviction holdings (Grail, Liquidia, Karooooo, Red Violet) to concentrate capital into fewer, higher-conviction growth ideas—consistent with the firm's stated philosophy of running a focused, high-conviction portfolio and reinforcing the picture of a significant repositioning quarter rather than routine trimming.

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