Skylands Capital's Q1 Moves
Skylands Capital Actively Rebalances Portfolio in Q1, Trimming Some Stocks While Boosting Others
Key Points
Minerals Technologies (MTX) saw Skylands Capital sell 11,700 shares in Q1, leaving 65,305 shares valued at about $4.63 million; institutional ownership of MTX is extremely high at 97.29%.
Skylands trimmed Eagle Materials (EXP) by 3,105 shares in Q1 to 37,310 shares valued at about $7.07 million, with institutional investors owning about 96.07% of the stock, and the stock opening at $233.75 on Friday.
Owens Corning (OC) position was reduced by 7,275 shares in Q1 to 130,745 shares, representing 1.9% of Skylands’ holdings and ranking as the fund’s 13th biggest position, with the stake valued at about $14.15 million.
Audioeye (AEYE) was increased by 89,600 shares to 222,850, with institutional ownership at 51.11%; Goldman Sachs boosted its AEYE stake to 108,392 shares, up about 20.6% in the quarter.
Progressive (PGR) position rose by 4,400 shares to 10,425; institutional ownership is high at 85.34%, and Progressive also announced a quarterly dividend to be paid on July 10.
Milwaukee-based Skylands Capital LLC rotated money out of construction and materials stocks in Q1 2026, trimming positions in Minerals Technologies, Eagle Materials, and Owens Corning while sharply boosting its stakes in digital accessibility firm AudioEye and insurance giant Progressive. The fund's total portfolio stood at roughly $763 million across 155 holdings after filing its quarterly 13F with the SEC, according to Fintel.
The moves reflect a broader strategic shift. Skylands is betting on compliance-driven technology growth and AI-powered insurance underwriting, even as it keeps reduced — but not abandoned — positions in industrial materials.
Skylands Trims Three Materials Stocks by Millions
Skylands sold 11,700 shares of Minerals Technologies (MTX) in Q1, cutting its stake by 15.2% to 65,305 shares worth about $4.63 million, according to Watchlist News. It also shed 3,105 shares of Eagle Materials (EXP), leaving 37,310 shares valued at roughly $7.07 million. EXP opened at $233.75 on the final Friday of the quarter. Both stocks carry extremely high institutional ownership — MTX at 97.29% and EXP at 96.07%.
The fund also cut its Owens Corning (OC) position by 7,275 shares, or 5.3%, to 130,745 shares valued at about $14.15 million. That stake now ranks as Skylands' 13th largest holding, representing 1.9% of the portfolio. Minerals Technologies shares dropped 6.6% after its Q1 earnings release, when the company disclosed a significant litigation reserve, according to Investing.com.
AudioEye Stake Jumps 67% as DOJ Deadline Looms
Skylands bought 89,600 additional shares of AudioEye (AEYE), lifting its position by 67.2% to 222,850 shares worth about $1.42 million. The company helps governments and businesses meet web accessibility standards. A key driver is a Department of Justice Title II mandate requiring state and local governments to comply with digital accessibility rules by April 2027, according to Seeking Alpha.
AudioEye reported record Q1 results, posting earnings per share of $0.18 — a major beat against analyst estimates. Analysts at Simply Wall St raised their fair value target to $15.75, citing a shift from losses to profitability. Skylands is not alone in its conviction. Goldman Sachs boosted its AudioEye stake by 20.6% in the same quarter, lifting its holding to 108,392 shares. Institutional ownership in AEYE now sits at 51.11%.
Progressive Stake Surges 73% on AI Underwriting Bet
Skylands added 4,400 shares of Progressive (PGR), growing its position by 73.0% to 10,425 shares valued at about $2.07 million. Progressive CEO Tricia Griffith has built more than 100 AI models to sharpen pricing and customer service, according to Investing.com. Analysts at MarketBeat and Zacks highlight Progressive's
Progressive also announced a quarterly dividend to be paid on July 10, giving Skylands an immediate income boost from its larger position. Institutional investors own 85.34% of PGR shares. The 73% stake increase signals Skylands is making a high-conviction bet that Progressive's data edge will let it out-price rivals in auto and homeowners insurance.
A Deliberate Rotation, Not a Panic Exit
Skylands founder Charles "Chip" Paquelet built the firm around on-site company visits and identifying "structural competitive advantages," according to the Skylands Capital website. His approach warns against "linear thinking" — simply following recent trends. The Q1 moves fit that mold. Skylands reduced its materials exposure but kept sizable positions in all three stocks, suggesting tactical trimming rather than a full retreat.
The fund also added 57,775 shares of SS&C Technologies (SSNC) and grew its DNOW Inc. position by 84.7% to 91,650 shares in the same quarter, according to Watchlist News. Taken together, the Q1 moves show a portfolio tilting toward technology and insurance while keeping a foothold in energy and materials — a diversified rebalance rather than a sector-wide exit.
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