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Why a Fund Walked Away From This $20 Million China Logistics Guess After a 24% Inventory Drop


On Might 15, 2026, Cederberg Capital disclosed in an SEC submitting that it bought out of Full Truck Alliance (NYSE:YMM) final quarter.

What occurred

In keeping with a Securities and Exchange Commission (SEC) filing dated Might 15, 2026, Cederberg Capital Ltd bought all 1,828,900 shares of Full Truck Alliance in the course of the first quarter. The online place worth declined by $20 million on account of the exit.

What else to know

  • Prime holdings after the submitting:

    • NASDAQ: NTES: $40.26 million (21.6% of AUM)

    • NASDAQ: PDD: $39.15 million (21.0% of AUM)

    • NASDAQ: ATAT: $33.15 million (17.8% of AUM)

    • NYSEMKT: SVM: $23.83 million (12.8% of AUM)

    • NASDAQ: ACMR: $23.58 million (12.7% of AUM)

  • As of Friday, Full Truck Alliance shares have been priced at $8.82, down 24% over the previous yr and properly underperforming the S&P 500, which is as an alternative up about 28%.

Firm overview

Metric

Worth

Worth (as of Friday)

$8.82

Market capitalization

$9 billion

Income (TTM)

$1.83 billion

Web earnings (TTM)

$645.43 million

Firm snapshot

  • Full Truck Alliance gives a digital freight platform providing freight itemizing, matching, brokerage, on-line transaction companies, and value-added options similar to credit score, insurance coverage, toll assortment, and power companies.

  • The agency operates a transaction-based enterprise mannequin, producing income by way of freight brokerage charges, value-added service fees, and technology-driven platform charges.

  • It serves shippers and truckers throughout China, focusing on enterprises and particular person logistics suppliers searching for environment friendly freight matching and logistics options.

Full Truck Alliance is a number one digital freight platform in China, facilitating environment friendly connections between shippers and truckers nationwide. The corporate leverages know-how to streamline logistics, providing a complete suite of companies that handle a number of facets of the freight transaction course of. Its scale and built-in value-added choices place it as a key participant in China’s evolving logistics and transportation sector.

What this transaction means for traders

Full Truck Alliance shares fell greater than 20% in the course of the first quarter alone amid broader skepticism surrounding Chinese language tech shares. Nevertheless, the corporate’s underlying enterprise remained comparatively wholesome. First-quarter income increased 5.5% yr over yr to $413 million, whereas fulfilled orders climbed 14% to 55 million and common shipper month-to-month lively customers rose 13% to three.11 million. Administration stated these positive aspects mirrored strengthening community results throughout each shippers and truckers.

The standard of development could also be extra necessary than the headline income determine. Transaction service income jumped 33% to $202 million, serving to offset weak spot in lower-value freight brokerage exercise. Working money move surged to $226 million from simply $47 million a yr earlier, and the corporate ended the quarter with roughly $4.7 billion in money and investments.
For long-term traders, the important thing query is whether or not sentiment has change into disconnected from fundamentals. Revenue declined yr over yr, and administration’s steering factors to modest development forward, however the platform continues to realize customers, course of extra freight, and generate vital money.

In the end, long-term traders ought to keep in mind that typically fund exits sign merely mirror a inventory that examined traders’ endurance — and never essentially a enterprise that has damaged down.

Must you purchase inventory in Full Truck Alliance proper now?

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Jonathan Ponciano has no place in any of the shares talked about. The Motley Idiot recommends NetEase. The Motley Idiot has a disclosure policy.

Why a Fund Walked Away From This $20 Million China Logistics Bet After a 24% Stock Drop was initially revealed by The Motley Idiot



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