How These 4 Large-Value Funds Have Fared Since Their Last Ratings Change

Large-cap value stocks provided a welcome source of stability as growth sold off sharply in the first quarter of 2026, but that leadership proved short-lived. A renewed artificial intelligence-driven rally in April brought large-cap growth to the forefront again, raising the question of whether the earlier shift was simply a temporary flight to safety.

Here’s how four funds in the large-value Morningstar Category have performed since earning their current Morningstar Medalist Ratings.

AMG Yacktman YACKX

A differentiated investment approach has helped this fund maintain its Silver rating since September 2020. With a 14.5% annualized return through April 2026, it managed to beat out the 14.1% of the average category peer. The managers seek out value in debt-light businesses where assets are mispriced or where corporate actions present clear upside catalysts. While most of the portfolio is in US holdings, the managers aren’t afraid to include stocks from abroad if they offer attractive valuations. That hurt them in 2024 but proved fruitful in 2025 as foreign markets surged and the fund rose to the top decile of its peer group. It’s a process that requires patience, but one that tends to work out in the long run.

Fidelity Equity-Income FEQIX

Increased confidence in lead manager Ramona Persaud resulted in a People Pillar rating upgrade to High from Above Average in February 2025, which in turn drove the fund’s Medalist Rating to Gold from Silver. Since then, the fund’s 18.7% annualized return through April 2026 surpassed the category benchmark’s 17.5% and the category average of 15.1%. Persaud maintains a sharp focus on high-quality companies and stable free cash flows, helping her balance strong capital appreciation with solid downside protection. Top contributors in 2025 included holdings such as Rolls-Royce RR. and GE Aerospace GE, which both returned upward of 80% over the course of the year. At the same time, the fund typically holds up better than the index during market downturns, reflecting its ability to perform in a variety of economic environments.

Vanguard High Dividend Yield Index VHYAX

This passive option was awarded a Gold rating in September 2023 and has returned 20.8% annualized since then through April 2026, outperforming the respective 20.0% and 18.5% returns of the category benchmark and average peer. The fund tracks the FTSE High Dividend Yield Index and seeks to provide above-average income by identifying higher-yielding stocks and limiting exposure to distressed yield traps. After ranking index constituents by their projected 12-month yield, selected holdings are weighted by market cap. This approach naturally tilts the fund toward larger, more stable companies that are often better positioned to sustain dividend payments. With a diversified portfolio of more than 500 stocks, the fund’s top holdings include industry leaders such as Johnson & Johnson JNJ and JPMorgan Chase JPM. The risk-aware process, along with some of the lowest fees in the large-value category, helps the fund continue to stand out.

MFS Value MEIAX

This fund was downgraded to Silver from Gold in August 2019, following the announcement of lead manager Steven Gorham’s retirement in December 2020. Since then, performance has lagged, owing to a combination of sector positioning and stock selection headwinds, and the fund returned 10.3% through April 2026 versus the 12.2% for its category benchmark. A long-standing underweighting in energy has weighed on results, though exposure moved closer to benchmark levels in early 2026. Stock selection has been particularly weak in consumer defensive names, with out-of-benchmark holdings such as Diageo DGE and Nestlé NESN detracting from returns. More recently, the exclusion of Alphabet GOOGL has hurt relative performance after it was added to the Russell 1000 Value benchmark during the index rebalance in June 2026.

This article first appeared in the May 2026 issue of Morningstar FundInvestor. Download a complimentary copy of FundInvestor by visiting this website.