Full Truck Alliance (NYSE:YMM) Stock Falls 4.5% - Should You Sell?

Key Points

• Full Truck Alliance shares fell 4.5% to approximately $8.04, below both their 50-day ($8.44) and 200-day ($8.84) moving averages, with trading volume below the daily average.
• Analysts remain generally positive, with six Buy ratings and three Holds producing a “Moderate Buy” consensus and an average price target of $11.30—roughly above the current share price.
• The company recently exceeded quarterly earnings and revenue expectations and declared a quarterly dividend of $0.084 per share, representing an annualized yield of about 4.2%; institutional investors own 39.02% of the stock.

Full Truck Alliance Co. Ltd. Sponsored ADR (NYSE:YMM - Get Free Report) shares traded down 4.5% during mid-day trading on Wednesday. The stock traded as low as $8.10 and last traded at $8.0390. 5,410,820 shares traded hands during trading, a decline of 31% from the average daily volume of 7,834,207 shares. The stock had previously closed at $8.42.

Wall Street Analyst Weigh In

A number of research firms have commented on YMM. UBS Group restated a "buy" rating and set a $13.36 price target on shares of Full Truck Alliance in a research note on Wednesday, August 5th. Wall Street Zen raised Full Truck Alliance from a "hold" rating to a "buy" rating in a research report on Saturday. Finally, Weiss Ratings upgraded Full Truck Alliance from a "hold (c)" rating to a "hold (c+)" rating in a research note on Tuesday, October 13th. Six investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $11.30.

Full Truck Alliance Stock Down 4.5%

The stock has a 50 day simple moving average of $8.44 and a 200 day simple moving average of $8.84. The company has a market cap of $8.39 billion, a price-to-earnings ratio of 13.66, a PEG ratio of 0.75 and a beta of 0.22.

Full Truck Alliance (NYSE:YMM - Get Free Report) last issued its quarterly earnings results on Friday, August 14th. The company reported $0.20 EPS for the quarter, beating analysts' consensus estimates of $0.19 by $0.01. The firm had revenue of $497.73 million during the quarter, compared to the consensus estimate of $463.13 million. Full Truck Alliance had a return on equity of 10.68% and a net margin of 33.07%. As a group, equities research analysts expect that Full Truck Alliance Co. Ltd. Sponsored ADR will post 0.71 EPS for the current fiscal year.

Full Truck Alliance Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 28th. Investors of record on Wednesday, October 14th will be issued a dividend of $0.0840 per share. This represents a $0.34 annualized dividend and a dividend yield of 4.2%. The ex-dividend date is Wednesday, October 14th. Full Truck Alliance's dividend payout ratio (DPR) is currently 55.93%.

Institutional Trading of Full Truck Alliance

A number of hedge funds have recently bought and sold shares of YMM. China Universal Asset Management Co. Ltd. acquired a new position in shares of Full Truck Alliance during the third quarter worth approximately $271,000. E. Ohman J or Asset Management AB lifted its holdings in Full Truck Alliance by 46.5% in the third quarter. E. Ohman J or Asset Management AB now owns 63,000 shares of the company's stock valued at $521,000 after buying an additional 20,000 shares during the period. Robeco Institutional Asset Management B.V. boosted its position in shares of Full Truck Alliance by 65.8% in the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 3,426,014 shares of the company's stock worth $28,333,000 after purchasing an additional 1,360,147 shares during the last quarter. Legacy Wealth Asset Management LLC grew its holdings in Full Truck Alliance by 46.1% during the third quarter. Legacy Wealth Asset Management LLC now owns 140,014 shares of the company's stock valued at $1,158,000 after purchasing an additional 44,189 shares during the period. Finally, QRG Capital Management Inc. lifted its holdings in shares of Full Truck Alliance by 61.1% during the 2nd quarter. QRG Capital Management Inc. now owns 21,039 shares of the company's stock valued at $171,000 after purchasing an additional 7,976 shares in the last quarter. 39.02% of the stock is owned by institutional investors.

Full Truck Alliance Company Profile

Full Truck Alliance Co Ltd. is a China-based digital freight platform that connects shippers with truck drivers and logistics companies. The company operates through its Yunmanman and Huochebang platforms, which help users find transportation capacity, arrange shipments and manage freight transactions through online tools.

Its services are designed to improve the efficiency of China's road freight industry by matching cargo with available trucks and providing information and transaction support.

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