Arrowstreet Capital Limited Partnership Purchases 473,907 Shares of ThredUp Inc. $TDUP

Key Points

• Arrowstreet Capital increased its ThredUp stake by 19%, buying 473,907 shares to own 2.97 million shares, or 2.30% of the company valued at approximately $9.7 million. Institutional investors collectively hold 89.08% of ThredUp.
• Analyst sentiment remains cautiously positive, with a consensus “Moderate Buy” rating and a $9.14 price target, although several analysts recently reduced their targets. ThredUp reported quarterly revenue of $81.67 million and an adjusted loss of $0.05 per share, matching earnings expectations.
• TDUP shares opened at $5.78, down 1.5%, with a market capitalization of about $746 million. Two executives sold shares at $4.43 each to cover tax withholding obligations tied to vested equity awards.

Arrowstreet Capital Limited Partnership grew its position in shares of ThredUp Inc. (NASDAQ:TDUP - Free Report) by 19.0% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 2,965,484 shares of the company's stock after buying an additional 473,907 shares during the quarter. Arrowstreet Capital Limited Partnership owned 2.30% of ThredUp worth $9,727,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors and hedge funds also recently made changes to their positions in the company. MYDA Advisors LLC bought a new position in ThredUp during the 4th quarter valued at about $2,173,000. Zweig DiMenna Associates LLC bought a new stake in shares of ThredUp in the fourth quarter worth approximately $3,441,000. Penn Capital Management Company LLC purchased a new position in shares of ThredUp during the fourth quarter valued at approximately $1,567,000. Needham Investment Management LLC raised its holdings in shares of ThredUp by 7.0% during the fourth quarter. Needham Investment Management LLC now owns 6,075,000 shares of the company's stock valued at $38,819,000 after purchasing an additional 400,000 shares during the last quarter. Finally, CI Investments Inc. bought a new position in ThredUp during the first quarter valued at approximately $5,937,000. Institutional investors own 89.08% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on the stock. TD Cowen raised their target price on shares of ThredUp from $5.00 to $5.70 and gave the stock a "buy" rating in a report on Tuesday, May 5th. Telsey Advisory Group decreased their target price on shares of ThredUp from $9.00 to $7.00 and set an "outperform" rating for the company in a research note on Tuesday, May 5th. Wells Fargo & Company lowered their price target on ThredUp from $10.00 to $8.00 and set an "overweight" rating on the stock in a report on Tuesday, May 5th. Finally, Weiss Ratings restated a "sell (e+)" rating on shares of ThredUp in a research note on Wednesday, June 24th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $9.14.

ThredUp Trading Down 1.5%

Shares of TDUP stock opened at $5.78 on Friday. The company has a debt-to-equity ratio of 0.30, a current ratio of 0.95 and a quick ratio of 0.95. The company has a market cap of $745.85 million, a price-to-earnings ratio of -36.12 and a beta of 1.97. ThredUp Inc. has a 1 year low of $3.08 and a 1 year high of $12.28. The firm has a fifty day moving average price of $5.83 and a 200-day moving average price of $4.88.

ThredUp (NASDAQ:TDUP - Get Free Report) last announced its earnings results on Monday, May 4th. The company reported ($0.05) EPS for the quarter, hitting analysts' consensus estimates of ($0.05). The company had revenue of $81.67 million for the quarter, compared to analysts' expectations of $80.17 million. ThredUp had a negative return on equity of 36.11% and a negative net margin of 6.68%. As a group, equities analysts predict that ThredUp Inc. will post -0.09 earnings per share for the current year.

Insider Transactions at ThredUp

In other news, COO Christopher Homer sold 61,578 shares of the firm's stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $4.43, for a total value of $272,790.54. Following the transaction, the chief operating officer owned 1,301,843 shares of the company's stock, valued at $5,767,164.49. This trade represents a 4.52% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Sean Sobers sold 45,554 shares of the firm's stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $4.43, for a total transaction of $201,804.22. Following the sale, the chief financial officer owned 572,523 shares in the company, valued at $2,536,276.89. The trade was a 7.37% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Corporate insiders own 23.10% of the company's stock.

ThredUp Company Profile

ThredUp, Inc operates an online consignment and thrift platform that enables consumers to buy and sell secondhand clothing and accessories. Through its digital marketplace, the company offers curated selections of apparel for women and children, spanning a broad range of brands and styles. Sellers can order a “Clean Out Kit” to send in items they no longer wear, while buyers benefit from discounted prices and a simplified shopping experience powered by ThredUp's in-house authentication, quality control and logistics capabilities.

In addition to its core consumer-to-consumer marketplace, ThredUp has expanded into business-to-business services with its Resale-as-a-Service (RaaS) offering.

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