Remitly Global (RELY) Slid Despite Posting Strong Results

1 week ago 16

Soumya Eswaran

Tue, January 27, 2026 astatine 6:43 AM CST 3 min read

Meridian Funds, managed by ArrowMark Partners, released its “Meridian Growth Fund” fourth-quarter 2025 capitalist letter. A transcript of the aforesaid tin beryllium downloaded here. U.S. equity markets experienced a 4th shaped by optimism astir imaginable monetary easing and caution related to economical maturation and valuations. Early gains were driven by beardown AI-related net and the US Federal Reserve’s complaint chopped successful October. However, marketplace sentiment cooled aboriginal successful the 4th owed to mixed signals from the Fed regarding aboriginal policy. Despite this moderation, the 4th contributed positively to robust yearly results, with ample caps rising 17.4% for the twelvemonth and 2.4% successful the quarter, portion tiny caps gained 12.8% for the twelvemonth and 2.2% successful the quarter. Value stocks outperformed growth, returning 3.3% versus 1.2% for the quarter. Market factors and assemblage effects were mixed successful the quarter. Against this backdrop, the Fund delivered a instrumentality of -0.39% (net) successful the quarter, underperforming the Russell 2500 Growth Index’s 0.33% return. As the marketplace heads into 2026, the steadfast is intimately watching the factors that whitethorn impact marketplace returns, including monetary argumentation changes with a caller Fed Chair and the sustainability of AI investments owed to precocious valuations among hyperscalers. The steadfast continues to absorption connected high-quality businesses with beardown competitory advantages, coagulated equilibrium sheets, and wide sustainable net growth. In addition, delight cheque the Fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, Meridian Growth Fund highlighted Remitly Global, Inc. (NASDAQ:RELY) arsenic 1 of its starring comparative detractors. Remitly Global, Inc. (NASDAQ:RELY) is simply a fiscal services institution that offers integer fiscal services for immigrants, their families, and different citizens. Remitly Global, Inc. (NASDAQ:RELY) shares traded betwixt $12.08 and $27.32 implicit the past 52 weeks. On January 26, 2026, Remitly Global, Inc. (NASDAQ:RELY) banal closed astatine $14.39 per share. One-month instrumentality of Remitly Global, Inc. (NASDAQ:RELY) was 3.82%, and its shares mislaid 13.52% of their worth implicit the past 3 months. Remitly Global, Inc. (NASDAQ:RELY) has a marketplace capitalization of $3.008 billion.

Meridian Growth Fund stated the pursuing regarding Remitly Global, Inc. (NASDAQ:RELY) successful its 4th fourth 2025 capitalist letter:

"Remitly Global, Inc. (NASDAQ:RELY) is simply a digitally autochthonal wealth transportation steadfast strategically capturing marketplace stock successful the cross-border remittance space, competing efficaciously against established players specified arsenic Western Union and MoneyGram. The institution has reached a standard that positions it for perchance important improvements successful profitability going forward. Despite reporting robust quarterly earnings, the banal underperformed during the quarter, influenced by management’s guidance indicating a deceleration successful gross maturation compared to erstwhile periods. This tempered outlook stems from challenging year-over-year comparisons and, to a lesser extent, immigration-related headwinds affecting remittance volumes. Nevertheless, Remitly continues to grow its marketplace beingness adjacent amid a temporarily subdued request environment."