Aoris Investment Management has identified ONE Gas, Inc. (NYSE:OGS) as a notable investment opportunity in its third-quarter 2025 investor letter. The report comes amidst fluctuations in global equity markets, with the MSCI AC World Accumulation Index ex Australia rising by 6.5% in Australian dollars during the September quarter. Although local currency gains reached 8.0%, currency fluctuations diminished the AUD return by 1.5%.
In the same quarter, the Aoris International Fund’s Class A (Unhedged) reported a return of -2.6% after fees, while Class C (Hedged) experienced a decline of -1.0%. Both classes lagged behind their respective benchmarks, which posted returns of 9.1% and 9.0%.
ONE Gas: A Steady Player in Natural Gas Distribution
According to the Aristotle Small Cap Equity Fund, ONE Gas, Inc. operates as a regulated natural gas distribution utility, serving regions in Oklahoma, Kansas, and Texas. The fund noted that, as of December 18, 2025, ONE Gas shares closed at $78.84 each, with a market capitalization of $4.72 billion. Over the past year, the company’s stock has appreciated by 14.73%, although it faced a one-month decline of -4.92%.
In its analysis, the fund highlighted the company’s strong history of consistent rate base increases, driven by both population growth and significant infrastructure investments. The favorable regulatory environment across its service territories is expected to support ongoing operational consistency and allow for modest dividend increases, making it an attractive option for investors seeking total return opportunities.
Investment Landscape and Hedge Fund Interest
ONE Gas, Inc. is not included in the 30 Most Popular Stocks Among Hedge Funds, but interest in the company has grown. Data indicates that 28 hedge fund portfolios held shares of ONE Gas at the end of the third quarter, an increase from 24 in the previous quarter. The company reported a net income of $26.5 million, or $0.44 per diluted share, for Q3 2025, compared to $19.3 million or $0.34 in the same quarter a year earlier.
Despite the potential risks associated with investing in ONE Gas, some analysts express a preference for certain artificial intelligence stocks, which they believe could offer higher returns in a shorter timeframe. This perspective suggests a competitive investment landscape where emerging technologies draw attention away from traditional utility investments like ONE Gas.
Investors looking for insights into hedge fund strategies and performance are encouraged to explore more reports on the Q3 2025 hedge fund investor letters page, which includes a variety of analyses from leading investment firms.
The developments surrounding ONE Gas, Inc. illustrate both the challenges and opportunities present in the current market environment, positioning the company as a significant player in the natural gas distribution sector for the year ahead.
