Here’s Why Giverny Capital Asset Management Sold Its Stake in M&T Bank Corporation (MTB)

Giverny Capital Asset Management, LLC, an investment management company, recently published its second-quarter 2025 investor letter. A copy of the letter can be downloaded here. During the first half of the year, the market was volatile. The S&P 500 ended June 30 up 6.20%. The portfolio lagged behind the market initially but gained 5.41% over the six months. In the quarter ended June, the portfolio returned 9.11% compared to the S&P 500’s 10.94% return. Additionally, you can review the fund’s top 5 holdings to see its best picks for 2025.

In its second-quarter 2025 investor letter, Giverny Capital Asset Management highlighted stocks such as M&T Bank Corporation (NYSE:MTB). M&T Bank Corporation (NYSE:MTB) is a bank holding company for Manufacturers and Traders Trust Company and Wilmington Trust, National Association. The one-month return of M&T Bank Corporation (NYSE:MTB) was -7.85%, and its shares gained 15.95% of their value over the last 52 weeks. On August 5, 2025, M&T Bank Corporation (NYSE:MTB) stock closed at $188.04 per share, with a market capitalization of $29.385 billion.

Giverny Capital Asset Management stated the following regarding M&T Bank Corporation (NYSE:MTB) in its second quarter 2025 investor letter:

“We had a handful of transactions during the quarter. We exited M&T Bank Corporation (NYSE:MTB), a Buffalo-based regional bank with a strong balance sheet and a conservative management team, trading at a modest price. This is not the kind of business I like to sell, but the longer I owned M&T, the more concerned I grew about its growth prospects.

A busy financial advisor talking to a client in their office.

M&T Bank Corporation (NYSE:MTB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 52 hedge fund portfolios held M&T Bank Corporation (NYSE:MTB) at the end of the first quarter, which was 46 in the previous quarter. While we acknowledge the potential of M&T Bank Corporation (NYSE:MTB) 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.