Chicago Capital Nearly Exits Alkami Technology Position Amid Software Sector Headwinds

Chicago Capital, LLC has significantly reduced its exposure to Alkami Technology (ALKT), offloading 1,627,747 shares during the first quarter of 2026. According to SEC filings, the estimated value of the transaction was approximately $29.98 million, based on the average closing price for the quarter. The divestment leaves the fund with a residual holding of 73,785 shares, valued at $1.16 million. This represents a total net position decrease of $38.10 million for the quarter, effectively removing Alkami from the fund's top five holdings and reducing its weight to just 0.03% of the fund's reportable U.S. equity AUM. The exit follows a period of severe volatility for ALKT, with the stock price declining roughly 61.6% from its peak in late 2024. While the company has maintained strong top-line growth—with trailing 12-month revenue rising 89% over three years—profitability remains a concern. Alkami reported a GAAP loss of $11.4 million in the fourth quarter. Investor sentiment has been further dampened by a cautious forward outlook. The company projected total revenue between $525.5 million and $530.5 million for the year, a midpoint that implies a 19% gain. Furthermore, ALKT has been caught in a broader software sector sell-off, as markets weigh the potential for artificial intelligence to disrupt traditional subscription-based service models.