Morgan Stanley analyst Eddy Wang maintained a Buy rating on Full Truck Alliance today and set a price target of $14.00.
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Eddy Wang’s rating is based on several promising factors for Full Truck Alliance. The company anticipates a stable take rate in the latter half of 2025, driven by a favorable order structure and price increases. Additionally, Full Truck Alliance projects a significant compound annual growth rate in transaction services revenue over the next two to three years, supported by robust order volume growth and potential increases in commission rates.
Furthermore, the company expects steady revenue growth from its freight listing services and has increased service fee rates for Manyunbao, which could enhance margins and free cash flow conversion. Despite some policy uncertainties, Full Truck Alliance is optimistic about its future gross and operating profit margins. The company also plans to allocate a larger portion of free cash flow to shareholders, which could enhance shareholder value. These factors collectively contribute to Eddy Wang’s Buy rating for Full Truck Alliance’s stock.
Wang covers the Consumer Cyclical sector, focusing on stocks such as Vipshop, JD, and PDD Holdings. According to TipRanks, Wang has an average return of -7.9% and a 31.58% success rate on recommended stocks.
In another report released today, HSBC also maintained a Buy rating on the stock with a $17.20 price target.