Osterweis Fund Flags Cardinal Infrastructure Growth After 64% Organic Gain

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Osterweis Capital Management's Osterweis Opportunity Fund highlighted Cardinal Infrastructure Group as a top Industrials contributor in its Q2 2026 investor letter, citing the civil contracting company's strong first quarter results, including 64% organic growth, its first data center win, and a well-priced secondary offering that fueled expectations of more accretive M&A. The fund returned 35.34% in the quarter, outpacing the Russell 2000 Growth Index's 25.71% gain, with security selection in Technology, Industrials, Health Care, and Consumer Discretionary driving the outperformance. Cardinal Infrastructure Group, which is still led by its founder and operates in just two states, closed at $30.11 per share on September 22, 2026, down 27.13% over the past month but up 24.52% year to date, with a market capitalization of $615.11 million. Osterweis said it sees a meaningful long-term opportunity for Cardinal's vertically integrated service model to grow both organically and inorganically for years to come. Twenty-six hedge fund portfolios held the stock at the end of the second quarter, up from 20 in the previous quarter.

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Osterweis Capital ManagementPrivate± Mixed
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Osterweis is the fund manager reporting its letter and holdings; no company-specific driver for its own business.

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