Quick Facts
Investor Institutional
Daily Pricing:  
As of 4/12/2024  
NAV: $16.29 $16.42
$ Change: $-0.30 $-0.30
% Change:
-1.81% -1.79%
0.12% 0.12%
Inception Date: 12/17/2001 7/1/2019
Expense Ratio: 1.03% 0.88%
Total Net Assets: $135.66 Million  (9/30/23)
Morningstar Category: Mid Cap Growth
Benchmark Index: Russell Midcap Growth
Related Material:
   Fund Fact Sheet Q4 2023
   PM Commentary Q4 2023
Fund Objective & Investment Strategy

The investment objective of the Buffalo Mid Cap Fund is long-term growth of capital. The Fund normally invests at least 80% of its net assets in equity securities, consisting of common stocks, preferred stocks, convertible preferred stocks, warrants and rights of medium capitalization (“mid-cap”) companies. The Fund defines mid-cap companies as those companies that, at the time of purchase, have market capitalizations within the range of the Russell Midcap Growth Index.

The Fund managers seek to identify companies for the Mid Cap Fund’s portfolio that are expected to experience growth based on the identification of long-term, measurable secular trends, and which, as a result, the managers believe may have potential revenue growth in excess of the gross domestic product growth rate. Companies are screened using in-depth, in-house research to identify those which the managers believe have favorable attributes, including attractive valuation, strong management, conservative debt, free cash flow, scalable business models, and competitive advantages.


Our focus has always been on investing in secular growth companies we believe are attractively-priced with strong balance sheets. We remain convinced the inefficiencies inherent in the small and mid-cap market spectrum, in addition to where we are in the economic cycle, are best suited for disciplined, active management of the portfolio.

Josh West, Portfolio Manager

Morningstar Ratings


Overall Morningstar Rating™ of BUFMX based on risk-adjusted returns among 520 Mid-Cap Growth funds as of 3/31/24.

Performance (%)

As of 3/31/243 MOYTD1 YR3 YR5 YR10 YR15 YR20 YRSince Inception
BUFFALO MID CAP FUND - Investor6.026.0223.742.1211.408.9812.858.648.78
BUFFALO MID CAP FUND - Institutional6.046.0423.852.2711.569.1313.028.808.94
  Russell Midcap Growth Index9.509.5026.284.6211.8211.3515.6410.419.77
  Lipper Mid Cap Growth Index8.348.3421.200.339.509.7813.949.508.61
As of 3/31/243 MOYTD1 YR3 YR5 YR10 YR15 YR20 YRSince Inception
BUFFALO MID CAP FUND - Investor6.026.0223.742.1211.408.9812.858.648.78
BUFFALO MID CAP FUND - Institutional6.046.0423.852.2711.569.1313.028.808.94
  Russell Midcap Growth Index9.509.5026.284.6211.8211.3515.6410.419.77
  Lipper Mid Cap Growth Index8.348.3421.200.339.509.7813.949.508.61

BUFFALO MID CAP FUND - Investor29.255.85-0.525.9313.66-7.3037.9834.1814.61-27.80
BUFFALO MID CAP FUND - Institutional29.456.00-0.376.0813.82-7.1638.1634.4214.73-27.69
  Russell Midcap Growth Index35.7411.90-0.207.3325.27-4.7535.4735.5912.73-26.72
  Morningstar U.S. Mid Growth Index34.079.77-0.716.4625.67-3.1636.0146.1714.97-32.37

For performance prior to 7/1/19 (Inception Date of Institutional Class), performance of the Investor Class shares is used and includes expenses not applicable and lower than those of Investor Class shares.Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower of higher than the performance quoted and can be obtained here. Performance is annualized for periods greater than 1 year. Each Morningstar category average represents a universe of funds with similar objectives.

3 Year Risk Metrics
BUFMX vs Russell Midcap Growth Index (As of 3/31/24)
Upside Capture87.93
Downside Capture99.55
Sharpe Ratio-0.03
Hypothetical Growth of $10,000
This chart illustrates the performance of a hypothetical $10,000 investment made in the Fund on the Inception Date. Assumes reinvestment of dividends and capital gains. This chart does not imply future performance.


Portfolio Characteristics
(As of 3/31/24) 
# of Holdings56
Median Market Cap$16.96 B
Weighted Average Market Cap$31.91 B
3-Yr Annualized Turnover Ratio22.70%
% of Holdings with Free Cash Flow92.86%
Active Share83.76%
Top 10 Holdings
Name of HoldingTickerSector% of Net
MSCI Inc. Class AMSCIFinancials4.06
Gartner, Inc.ITInformation Technology3.89
CBRE Group, Inc. Class ACBREReal Estate3.49
IQVIA Holdings IncIQVHealth Care3.16
CrowdStrike Holdings, Inc. Class ACRWDInformation Technology3.08
Verisk Analytics IncVRSKIndustrials3.02
CoStar Group, Inc.CSGPIndustrials3.00
Copart, Inc.CPRTIndustrials2.73
AMETEK, Inc.AMEIndustrials2.54
Veeva Systems Inc Class AVEEVHealth Care2.53
As of 12/31/23. Top 10 Holdings for the quarter are not disclosed until 60 days after quarter end. Fund holdings are subject to change and are not recommendations to buy or sell any securities.
Sector Weighting

As of 3/31/24. Security weightings are subject to change and are not recommendations to buy or sell any securities. Sector Allocation may not equal 100% due to rounding.

Market Capitalization

As of 3/31/24. Market Cap percentages may not equal 100% due to rounding.


Josh West, CFA
Portfolio Manager

18 Years of Experience

 View full bio

Doug Cartwright, CFA
Portfolio Manager

17 Years of Experience

 View full bio



(As of 12/31/23)

2023 concluded with capital markets moving higher in the final quarter of the year. The
S&P 500 Index gained 11.69% and the Bloomberg Aggregate Bond Index advanced
6.82%. A big pivot in expectations for the Federal Reserve’s monetary policy drove the
market advance during the period, as investors now anticipate a decline in interest
rates for 2024. The yield of the U.S. Treasury 10-year note finished the quarter at
3.88%, a significant drop from its peak of nearly 5% in mid-October.

Recapping broad-based index results, the Russell 3000 Index gained 12.07% during
the period. Growth stocks outperformed value stocks as the Russell 3000 Growth
Index advanced 14.09% compared to a gain of 9.83% for the Russell 3000 Value Index.
In typical “risk-on” fashion, relative performance improved going down in market
capitalization (size) during the quarter as small caps advanced more than large caps.
Larger cap stocks produced a return of 11.96%, as measured by the Russell 1000
Index, compared to the smaller cap Russell 2000 Index return of 14.03%. The even
smaller market cap Russell Microcap Index rallied 16.06% in the quarter.

The stock market recorded impressive gains for 2023 with the S&P 500 Index
advancing 26.29%. However, it was a “narrow” market as the “magnificent seven”
technology and artificial intelligence (AI) stocks accounted for approximate 80% of the
S&P 500’s gains in 2023, versus a broad market advance where hundreds of stocks
propel the index higher. In terms of economic sectors, technology, communication
services, and consumer discretionary stocks were the brightest spots while the utilities
and energy sectors declined in 2023.

The Buffalo Mid Cap Fund gained 14.22% in the fourth quarter compared to the
Russell Midcap Growth Index return of 14.55%. Strong stock selection in the
industrials, real estate, and information technology sectors mostly offset the drag from
poor selection in health care, consumer, and finance. Our small cash position was also
a modest drag on performance in the market rally.

Top Contributors
Gartner was the top contributor to fund results in the quarter. The company
provides research and advisory services, mainly on technology related topics, to
corporate clients. The stock advanced over 30% after reporting a beat and raise
quarter, highlighted by stabilizing tech vendor spending and salesforce productivity
improvements. While artificial intelligence is the current hot topic, we expect Gartner
will continue to benefit from the increasing ubiquity and complexity of IT in all types
of businesses.

Shares of cybersecurity firm Crowdstrike Holdings were up over 50% in the quarter.
Investors were surprised by Crowdstrike’s net new annual recurring revenue growth
of 13%, compared to previous estimates of 6%. Investors were also pleased with
the company’s improving win rates and expansion into cloud security and identity
protection. Crowdstrike should be well positioned to benefit from increasing spend
on endpoint security and cloud workload protection for years to come.

CBRE Group is the leading global provider of commercial real estate (CRE) services.
Its shares benefited from the pullback in interest rates seen in the quarter. Higher
interest rates have been a headwind to commercial real estate transactions. Also,
CBRE and some others in the industry made comments about seeing some green
shoots in capital markets activity. Looking through the cycles, CBRE should continue to
benefit from firms outsourcing CRE functions, consolidation of CRE spend with fewer
global providers, and increasing investor ownership in the CRE asset class.

Top Detractors
Kinsale Capital Group is a property and casualty insurer, focusing on excess
and surplus (E&S) lines. Gross premiums written grew 34% in the quarter, which
disappointed investors who had become accustomed to growth in the 40%s and 50%s.
While the business will inevitably show signs of cyclicality, the company’s technology
platform and focus on small E&S policies will allow Kinsale to continue growing at an
attractive rate without sacrificing on underwriting margins.

On Semiconductor, a supplier of semiconductors and sensors focused on automotive
and industrial markets, was a drag on performance in the quarter. The company
lowered guidance for silicon carbide revenue, citing weakness in demand from one top
electric vehicle customer. We continue to expect electric vehicles to become a larger
percentage of cars on the road over time, and On Semiconductor should benefit from
that trend.


(As of 12/31/23)

In the first quarter of 2023, investors were concerned that the Federal Reserve would
push the economy into recession with their rapid interest rate increases. In the second
quarter, investors became convinced that the Federal Reserve would be able to tame
inflation without killing economic expansion, also known as a “soft landing”. In the third
quarter, investors returned to fretting over a possible or probable recession again. In
the fourth quarter, the Federal Reserve signaled a more dovish position and a likely peak
in interest rates for this cycle. Investors cheered that outlook, and the prevailing view is
again for the economy to have a soft landing. We highlight this mainly to point out how
fickle the financial markets are and how quickly the prevailing view can change.

We do not know if there will be a recession this year, next year, or the year after, but
we remain focused on investing in businesses that will be larger and more profitable
many years from now and have the financial strength to weather a recession whenever
one occurs. Regardless of what happens with the economy or broader equity
markets, we will strive to maximize risk-adjusted returns in the portfolio by investing
in attractively valued businesses with solid growth opportunities, durable competitive
advantages, scalable business models, and exceptional management teams.

Thank you for your continued support.

The opinions expressed are those of the Portfolio Manager(s) and are subject to change, are not guaranteed and should not be considered recommendations to buy or sell any security. Earnings growth is not representative of the fund’s future performance.


General Account
  New Account Application
  New Account Application - Entity
  Change or Add Account Details
  Cost Basis Method Election
  Power of Attorney
Individual Retirement Account (IRA) Forms
  IRA Account Application
  IRA Beneficiary Addition / Change
  IRA Required Minimum Distribution (RMD)
  IRA / Qualified Plan Distribution Request
  IRA Transfer
Coverdell Education Savings Accounts (ESA) Forms
  Coverdell ESA Application
  Coverdell ESA Distribution Request
  Coverdell ESA Transfer
Retirement Information
  Retirement Savings Options for Individuals

Fundamental Approach

We get to know the companies we invest in and learn how they run their business.

Top-Down & Bottom-Up

We identify Top-Down broad, secular growth trends and search for companies from the Bottom-Up.

Proprietary Philosophy

We construct our portfolios based on our own proprietary investment strategy.

Disciplined Investing

Sticking to our disciplined investment strategy ensures we maintain a consistent, balanced approach.

Morningstar Rating™

The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The Morningstar Rating does not include any adjustment for sales loads. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.

©2022 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

The Buffalo Mid Cap Fund (BUFMX) received 3 stars among 520 for the 3-year, 4 stars among 489 for the 5-year, and 3 stars among 393 Mid-Cap Growth funds for the 10-year period ending 3/31/24. Other share classes may have different performance characteristics.