Why This Fund Sold $35 Million of Bristow Group Amid a 40% Stock Surge

The South Dakota Investment Council sold 801,900 shares of Bristow Group (NYSE:VTOL) in the first quarter of 2026, generating $35.24 million in proceeds based on average quarterly pricing. The sale, disclosed in an SEC filing on May 18, 2026, reduced the fund’s stake in Bristow by 29%, leaving it with 1,965,845 shares valued at $92.18 million. The transaction accounted for 0.67% of the fund’s 13F reportable assets, with Bristow now representing 1.8% of its total holdings. After the sale, Bristow’s stock traded at $41.64, reflecting a 40% gain over the past year and outperforming the S&P 500’s 28% rise. The company reported first-quarter revenue of $388.7 million, up from $377.3 million in the prior quarter, with operating income improving to $34.7 million. Bristow also reaffirmed its 2026 adjusted EBITDA outlook of $295–325 million and maintained strong liquidity, ending March with $342.1 million in unrestricted cash and total liquidity of $393.6 million. Bristow Group provides aviation services, including helicopter and fixed-wing transportation, search and rescue, and offshore energy support, primarily serving oil and gas companies, governments, and commercial clients. The company’s growth is driven by rising defense spending, energy security concerns, and demand for next-generation electric aircraft, according to CEO Chris Bradshaw. The South Dakota Investment Council’s top five holdings after the sale include Vanguard FTSE Developed Markets ETF (VWO) at $575.20 million, iShares Core U.S. Aggregate Bond ETF (AGG) at $324.85 million, NVIDIA (NVDA) at $215.10 million, Apple (AAPL) at $190.27 million, and Microsoft (MSFT) at $170.74 million. The fund’s decision to trim Bristow, despite its strong performance, suggests a strategic reallocation amid a broader portfolio shift.