Kingdom Capital Advisors, a registered investment advisor, released its first quarter 2026 investor letter. A copy of the letter is available to download here. The first quarter of 2026 delivered a strong performance, despite the market volatility driven by the ongoing conflict in the Middle East. The portfolio thrived by avoiding the significant downturn in AI-driven software stocks and benefiting from several expected catalysts in special situation investments. Kingdom Capital Advisors (KCA Value Composite) returned 8.01% (after fees) in the first quarter, outperforming the Russell 2000 TR at 0.89%, the S&P 500 TR at -4.33%, and the NASDAQ 100 TR at -5.82The composite compounded at 22.81% net annualized versus 4.80% for the Russell 2000, since its inception in January 2022, marking cumulative outperformance of over 115%. The Firm continues to maintain a balanced portfolio of special situation and deep value investments, positioning the composite to deliver strong returns in the future. In addition, please check the Composite’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Kingdom Capital Advisors highlighted Energous Corporation (NASDAQ:WATT). Energous Corporation (NASDAQ:WATT) is a technology company that provides wireless charging system solutions, known for its over-the-air Wireless Power Network (WPN) technology. On April 7, 2026, Energous Corporation (NASDAQ:WATT) closed at $15.07 per share. One-month return of Energous Corporation (NASDAQ:WATT) was 11.22%, and its shares gained 94.48% over the past 52 weeks. Energous Corporation (NASDAQ:WATT) has a market capitalization of $ 82.9 million.
Kingdom Capital Advisors stated the following regarding Energous Corporation (NASDAQ:WATT) in its Q1 2026 investor letter:
“Energous Corporation (NASDAQ:WATT): A historically awful consumer products business, WATT has pivoted to supply chain tracking solutions. We initiated a position when the company’s market capitalization approximated its cash balance, reflecting minimal expectations for the business. As the company secured meaningful contracts (including Walmart), the stock rerated significantly, rising from our ~$8 entry to over $20 at its peak. Following a dilutive capital raise by management, we exited the position with a return exceeding 100% over approximately two months.”
Energous Corporation (NASDAQ:WATT) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. While we acknowledge the potential of Energous Corporation (NASDAQ:WATT) 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.
