Fund Exits $40.9 Million Position in FROG, According to Latest SEC Filing

JFrog powers secure, automated software releases for enterprises, with a platform supporting complex supply chain management.On February 13, 2026, Shannon River Fund Management LLC disclosed in a U.S. Securities and Exchange Commission filing that it sold out of JFrog (FROG +1.70%), with the estimated transaction value approximately $40.89 million based on quarterly average pricing.What HappenedShannon River Fund Management LLC reported in a Securities and Exchange Commission (SEC) filing dated February 13, 2026, that it sold 863,924 shares of JFrog over the quarter. The estimated transaction value was approximately $40.89 million, calculated using the quarterly average price. The fund’s quarter-end stake in JFrog fell to zero, and the position’s valuation dropped by $40.89 million, which includes both trading activity and stock price movement.What Else to KnowThe fund sold out of JFrog; its stake now represents none of 13F assets under management.Top holdings after the filing:NASDAQ:TSEM: $70.78 million (11.1% of AUM)NASDAQ:PEGA: $62.04 million (9.7% of AUM)NYSE:U: $47.06 million (7.4% of AUM)NYSE:LYV: $36.40 million (5.7% of AUM)NASDAQ:MRVL: $32.10 million (5.0% of AUM)As of February 13, 2026, shares of JFrog were priced at $51.68, up 37.0% over the past year, outperforming the S&P 500 by 25.25 percentage points.The position had previously made up 6.6% of the fund’s reported assets as of the prior quarter.Company OverviewMetricValuePrice (as of market close February 13, 2026)$51.68Market Capitalization$6.11 billionRevenue (TTM)$531.84 millionNet Income (TTM)($71.82 million)Company SnapshotOffers a comprehensive DevOps platform, including JFrog Artifactory (package repository), JFrog Pipelines (CI/CD automation), and JFrog Xray (security scanning), with additional solutions for software distribution and device management.Offers tiered product offerings targeting enterprise scalability and ongoing updates for software supply chain management.Serves technology, financial services, retail, healthcare, and telecommunications organizations requiring secure, scalable software supply chain management.JFrog is a leading provider of DevOps solutions, enabling organizations to automate, secure, and manage software releases at scale. With a strong focus on enterprise-grade performance and security, the company leverages a subscription model to drive recurring revenue and customer retention. Its platform is recognized for supporting complex software supply chains across diverse industries, positioning JFrog as a strategic partner in modern application development.What This Transaction Means for InvestorsShannon River, a New York-based hedge fund, recently sold approximately $40.9 million worth of JFrog stock during the fourth quarter of 2025 (the three months ending on Dec 31, 2025). Here’s what investors need to know about JFrog and this sale.For starters, JFrog stock has seen a sharp reversal over the last few months. After peaking at nearly $69/share, the stock has fallen by about 31% from this high. That said, shares have advanced by more than 110% over the last three years, generating a very solid compound annual growth rate (CAGR) of 27.3%. As for its business fundamentals, there are mixed signals. Revenue growth is high at 25% year-over-year, but that is down from the 30%+ revenue growth JFrog reported in 2022. What’s more, management has provided bullish guidance — driven by strength in the cloud market — hinting at surging profitability in 2026. However, to this point, JFROG has yet to report positive net income over any 12-month period.Shannon River’s sale of JFROG stock could be viewed in two ways: The fund could simply be taking profits on a stock that has advanced nicely over the last several years, or its fund managers may have become neutral or bearish on the company’s prospects. In any event, for growth-oriented investors, JFROG’s solid performance history, combined with its robust growth and bullish guidance make it a compelling stock to consider.About the AuthorJake Lerch is a contributing Motley Fool technology analyst covering artificial intelligence, cloud computing, cybersecurity, e-commerce, and semiconductors. Prior to The Motley Fool, Jake worked for 12 years at Credit Suisse, an international investment bank. He holds a bachelor’s degree in business with a concentration in economics from the University of North Carolina at Wilmington.TMFRescueDogStocks MentionedJFrogNASDAQ: FROG$48.38 (+1.70%) $+0.81*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.