Chime Stock Down 15% Since June IPO, but One Fund Just Disclosed an $11 Million Bet on Shares
Key Points
Tenzing Global Management acquired 450,000 shares of Chime Financial in the fourth quarter.
The quarter-end position value increased by $11.33 million as a result of the new purchase.
The stake represents 6.78% of 13F reportable assets under management.
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On February 17, 2026, Tenzing Global Management disclosed a new position in Chime Financial (NASDAQ:CHYM), acquiring 450,000 shares worth $11.33 million.
What happened
According to a Securities and Exchange Commission (SEC) filing dated February 17, 2026, Tenzing Global Management initiated a new stake in Chime Financial (NASDAQ:CHYM), acquiring 450,000 shares. The quarter-end value of the position also stood at $11.33 million, reflecting the new purchase.
What else to know
- This new position accounts for 7% of Tenzing Global Management, LLC’s 13F reportable assets under management following the quarter’s trades.
- Top holdings after the filing:
- NYSE: HLF: $16.11 million (13.7% of AUM)
- NASDAQ: NXT: $14.16 million (12.0% of AUM)
- NASDAQ: GOOGL: $13.30 million (11.3% of AUM)
- NASDAQ: NTGR: $12.27 million (10.4% of AUM)
- NYSE: TSM: $12.16 million (10.3% of AUM)
- As of Thursday, shares of Chime Financial were priced at $23.11, down about 15% from their June IPO price of $27.
Company overview
| Metric | Value |
|---|---|
| Revenue (TTM) | $2.1 billion |
| Net income (TTM) | ($984.8 million) |
| Market capitalization | $9 billion |
| Price (as of Thursday) | $23.11 |
Company snapshot
- Chime Financial offers mobile-first, fee-free banking services, including checking, savings, early paycheck access, and overdraft protection through partnerships with FDIC-insured banks.
- The company generates revenue primarily from interchange fees on customer transactions.
- It targets U.S. consumers earning under $100,000 per year, focusing on individuals seeking accessible, low-fee financial solutions.
Chime Financial operates at scale as a leading U.S. fintech, serving over a thousand employees and a large customer base through its digital banking platform. The company's strategy centers on providing accessible, low-cost banking alternatives to traditional institutions, with a focus on underserved segments. Chime Financial's competitive edge lies in its streamlined, mobile-first approach and its ability to monetize customer activity through interchange revenue, rather than account fees.
What this transaction means for investors
Chime stock has struggled since its June IPO, but the firm’s latest results show why a fund might be leaning in. The company generated $2.2 billion in revenue in 2025, up 31% year over year, while fourth-quarter revenue climbed to $596 million with an 89% gross margin. Active members reached 9.5 million, rising 19% from a year earlier, while purchase volume totaled $34.4 billion in the quarter as customers increasingly treat Chime as their primary spending account.
Nevertheless, shares still trade roughly 15% below the $27 IPO price, largely reflecting investor concerns about profitability and competition in the fintech space.
More broadly, the position sits in a portfolio otherwise dominated by established companies like Alphabet, Taiwan Semiconductor, and Herbalife, holdings that lean toward large, profitable businesses. This stake represents a smaller but higher-growth bet, and Tenzing isn’t alone in having taken note. On Thursday, Morgan Stanley reiterated an overweight rating on Chime stock, expressing optimism about the firm’s future credit products, such as the recently launched ChimeCard, which has been adopted by 50% of new customers. Ultimately, after a tough stretch for fintech, there are signs the space is due for some sustainable growth, and that might be why Tenzing is leaning into Chime now.
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Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Nextpower, and Taiwan Semiconductor Manufacturing. The Motley Fool has a disclosure policy.
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