Legacy Ridge Capital Management, an investment management company, released its Q4 2025 investor letter. A copy of the letter can be downloaded here. The Partnership returned 7% net of a 1% performance fee in 2025. Market volatility led to the Partnership’s weaker-than-expected performance last year. The year started strongly but faced challenges after Liberation Day, despite wisely investing during the market’s lows. The Partnership showed progress from November to mid-December. The letter also noted that a shift in the calendar end date would have improved returns by over 4%, highlighting the unpredictable nature of concentrated value investing. The portfolio is concentrated in 10 names, and the dividend yield is approximately 6%. Please review the Partnership’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, Legacy Ridge Capital Management highlighted stocks like Mach Natural Resources LP (NYSE:MNR). Mach Natural Resources LP (NYSE:MNR) is an independent upstream oil and gas company. On February 3, 2026, Mach Natural Resources LP (NYSE:MNR) stock closed at $11.76 per share. One-month return of Mach Natural Resources LP (NYSE:MNR) delivered a 8.59% return in the past month, and its shares are down 31.55% over the past twelve months. Mach Natural Resources LP (NYSE:MNR) has a market capitalization of $1.981 billion.
Legacy Ridge Capital Management stated the following regarding Mach Natural Resources LP (NYSE:MNR) in its fourth quarter 2025 investor letter:
“Rather than a full company description of Kimbell Royalty Partners (KRP) and Mach Natural Resources LP (NYSE:MNR), we’ll focus on the differences and then the similarities. Kimbell owns mineral rights. That means they don’t own land, they don’t have an obligation to drill, they don’t even have to put up capital to benefit from the assets they own. Put simply, they possess the rights to a commodity that another party wants to extract and that party will pay a percentage of revenue to extract the commodity. KRP owns approximately 158K net royalty acres, an interest in over 131,000 wells, 68 million barrels of oil equivalent (BOE) of reserves, and produces 25,530 BOE per day. KRP has more than 14 years of drilling inventory, and a production decline rate of ~14%. Lastly, next year’s dividend is expected to be $1.43/share, or a 10.8% yield
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