In its second-quarter 13F filing, David Rolfe's Wedgewood Partners revealed a significant portfolio consolidation, increasing its concentration in mega-cap technology and growth stocks. The total market value of the firm's 19 reported positions was $484.43 million as of June 30, 2026. The filing shows a clear strategy of redeploying capital from exited positions into existing high-conviction names, with the top ten holdings now accounting for over 71% of the portfolio.
The most significant moves involved adding to already large positions in big tech. The firm increased its share count in Meta Platforms (META) by over 16%, Amazon (AMZN) by over 35%, and Microsoft (MSFT) by 21%. In his quarterly letter, Rolfe stated that the massive AI-related capital expenditures by these "hyperscalers" are rational, given they maintain returns on capital above 30%. The firm also made smaller additions to insurers Progressive (PGR) and Chubb (CHUBB LIMITED).
To fund these purchases, Wedgewood completely exited three positions: Tractor Supply Co. (TSCO), CDW Corp. (CDW), and Zoetis Inc. (ZTS). These sales represented a combined portfolio weight of over 10% in the previous quarter. The firm also trimmed its top holding, Taiwan Semiconductor (TSM), by over 18% to manage concentration risk, although it remained the largest position by weight at the end of the quarter. This data is from a delayed 13F filing and does not represent live trading activity.