Plural Investing’s Thoughts on ContextLogic (LOGC)

Plural Investing LLC, an investment advisor, released its Q4 2025 “Plural Partners Fund L.P” investor letter. A copy of the letter can be downloaded here. The Fund posted a net return of 5.7% in the fourth quarter. As value investors, the Firm seeks to invest in companies that are significantly undervalued based on their trading prices. They focus on long-term horizons rather than reacting to temporary declines in stock prices. The firm manages risk by selecting companies that are trading below their intrinsic value. Additionally, the firm views stock price volatility as an opportunity for investment. In addition, please check the Fund’s top five holdings to know its best picks in 2025.

In its fourth-quarter 2025 investor letter, Plural Investing highlighted stocks like ContextLogic Holdings Inc. (OTC:LOGC).  ContextLogic Holdings Inc. (OTC:LOGC) is a company that focuses on developing a new business model and finance potential for acquiring assets or businesses. On January 28, 2026, ContextLogic Holdings Inc. (OTC:LOGC) stock closed at $7.82 per share. One-month return of ContextLogic Holdings Inc. (OTC:LOGC) was 3.17%, and its shares gained 5.39% of their value over the last 52 weeks. ContextLogic Holdings Inc. (OTC:LOGC) has a market capitalization of $210.171 million.

Plural Investing stated the following regarding ContextLogic Holdings Inc. (OTC:LOGC) in its fourth quarter 2025 investor letter:

“ContextLogic Holdings Inc. (OTC:LOGC) was a company with no operating business, $300mm in cash, $2.9bn in net operating losses (‘NOLs’), and an activist CEO looking to monetize the NOLs through an acquisition. We first invested in the company in October 2024 at $5.8/shr around its cash value and recently sold out around $8.0/shr after the company made an acquisition.

ContextLogic was previously Wish.com, a massively loss-making e-commerce marketplace that peaked at a $21bn valuation in 2020 and was sold in February 2024 for $173mm. Activist hedge fund manager Rishi Bajaj joined the company to ensure that while the operations were sold, the entity itself was not liquidated. That preserved $2.9bn of NOLs that had been created through Wish’s losses.

NOLs can be used to offset future profits, and at a 21% corporate tax rate the $2.9bn in NOLs could theoretically shield $609mm in taxes, or $13.4/shr. Realizing that value in full is not realistic because it would require ContextLogic to acquire a very large business whose tax bill is $609mm in one year, but our thesis was that the cash and NOLs together were worth around $12/shr and that the risk we were taking at $5.8/shr was minimal because that was what the company’s cash alone was worth…” (Click here to read the full text)

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ContextLogic Holdings Inc. (OTC:LOGC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. While we acknowledge the risk and potential of ContextLogic Holdings Inc. (OTC:LOGC) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ContextLogic Holdings Inc. (OTC:LOGC) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.