Paradigm Capital Management Inc. NY Acquires Shares of 133,000 Zumiez Inc. $ZUMZ

Key Points

• Paradigm Capital Management Inc. NY has acquired a new stake in Zumiez Inc. by purchasing 133,000 shares valued at approximately $1,980,000.
• Zumiez reported a loss of ($0.79) earnings per share (EPS) for the quarter, slightly missing the consensus estimate, while achieving a revenue of $184.34 million.
• The company has initiated a stock buyback plan allowing for up to $15 million in repurchases, indicating that the board believes its stock is undervalued.

Paradigm Capital Management Inc. NY bought a new position in shares of Zumiez Inc. (NASDAQ:ZUMZ - Free Report) during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm bought 133,000 shares of the apparel and footwear maker's stock, valued at approximately $1,980,000. Paradigm Capital Management Inc. NY owned 0.68% of Zumiez as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors have also modified their holdings of ZUMZ. Magnetar Financial LLC purchased a new position in Zumiez during the first quarter valued at approximately $173,000. Trexquant Investment LP increased its holdings in Zumiez by 80.9% during the first quarter. Trexquant Investment LP now owns 75,454 shares of the apparel and footwear maker's stock valued at $1,124,000 after buying an additional 33,734 shares during the period. Landscape Capital Management L.L.C. purchased a new position in Zumiez during the first quarter valued at approximately $1,746,000. Nuveen LLC purchased a new position in Zumiez during the first quarter valued at approximately $876,000. Finally, Charles Schwab Investment Management Inc. increased its holdings in Zumiez by 3.5% during the first quarter. Charles Schwab Investment Management Inc. now owns 233,020 shares of the apparel and footwear maker's stock valued at $3,470,000 after buying an additional 7,895 shares during the period. 95.45% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Zumiez

In related news, Director Liliana Gil Valletta sold 6,600 shares of the business's stock in a transaction on Thursday, June 26th. The shares were sold at an average price of $12.82, for a total transaction of $84,612.00. Following the completion of the transaction, the director directly owned 10,809 shares in the company, valued at $138,571.38. The trade was a 37.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Insiders own 21.20% of the company's stock.

Zumiez Stock Performance

ZUMZ traded up $0.91 during trading on Thursday, hitting $18.45. The stock had a trading volume of 460,790 shares, compared to its average volume of 272,965. The company has a market capitalization of $327.87 million, a PE ratio of 1,846.85 and a beta of 0.96. Zumiez Inc. has a twelve month low of $11.31 and a twelve month high of $31.37. The stock has a 50 day simple moving average of $14.83 and a two-hundred day simple moving average of $13.76.

Zumiez (NASDAQ:ZUMZ - Get Free Report) last announced its earnings results on Thursday, June 5th. The apparel and footwear maker reported ($0.79) earnings per share for the quarter, missing the consensus estimate of ($0.77) by ($0.02). Zumiez had a net margin of 0.08% and a return on equity of 0.23%. The firm had revenue of $184.34 million during the quarter, compared to analyst estimates of $182.23 million. During the same quarter last year, the business earned ($0.86) earnings per share. Zumiez's revenue was up 3.9% on a year-over-year basis. On average, equities research analysts anticipate that Zumiez Inc. will post -0.12 EPS for the current year.

Zumiez declared that its board has initiated a share repurchase plan on Thursday, June 5th that allows the company to buyback $15.00 million in shares. This buyback authorization allows the apparel and footwear maker to repurchase up to 6% of its stock through open market purchases. Stock buyback plans are typically a sign that the company's board of directors believes its stock is undervalued.

Zumiez Company Profile

Zumiez Inc operates as a specialty retailer of apparel, footwear, accessories, and hardgoods for young men and women. The company provides hardgoods, including skateboards, snowboards, bindings, components, and other equipment. It operates stores in the United States, Canada, Europe, and Australia under the names of Zumiez, Blue Tomato, and Fast Times.