Maverick Capital Ltd. Boosts Stake in Zumiez Inc. $ZUMZ

Key Points

• Maverick Capital Ltd. increased its shareholding in Zumiez Inc. by 76.1%, acquiring a total of 63,126 shares worth approximately $940,000.
• Other institutional investors like Millennium Management and GAMMA Investing increased their stakes significantly, indicating strong interest in Zumiez.
• Zumiez announced a $15 million share repurchase plan, suggesting the board believes the company's shares are currently undervalued.

Maverick Capital Ltd. lifted its position in Zumiez Inc. (NASDAQ:ZUMZ - Free Report) by 76.1% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 63,126 shares of the apparel and footwear maker's stock after purchasing an additional 27,276 shares during the quarter. Maverick Capital Ltd. owned 0.32% of Zumiez worth $940,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently modified their holdings of ZUMZ. Wells Fargo & Company MN boosted its holdings in shares of Zumiez by 20.6% in the 4th quarter. Wells Fargo & Company MN now owns 9,093 shares of the apparel and footwear maker's stock worth $174,000 after purchasing an additional 1,555 shares in the last quarter. Barclays PLC boosted its holdings in shares of Zumiez by 16.8% in the 4th quarter. Barclays PLC now owns 55,359 shares of the apparel and footwear maker's stock worth $1,062,000 after purchasing an additional 7,972 shares in the last quarter. Hsbc Holdings PLC boosted its holdings in shares of Zumiez by 37.0% in the 4th quarter. Hsbc Holdings PLC now owns 18,397 shares of the apparel and footwear maker's stock worth $345,000 after purchasing an additional 4,968 shares in the last quarter. Northern Trust Corp boosted its holdings in shares of Zumiez by 3.2% in the 4th quarter. Northern Trust Corp now owns 157,666 shares of the apparel and footwear maker's stock worth $3,022,000 after purchasing an additional 4,955 shares in the last quarter. Finally, Algert Global LLC purchased a new position in shares of Zumiez in the 4th quarter worth about $276,000. 95.45% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on ZUMZ shares. Zacks Research upgraded Zumiez from a "strong sell" rating to a "hold" rating in a report on Wednesday. B. Riley increased their target price on Zumiez from $14.00 to $18.00 and gave the company a "neutral" rating in a report on Friday. Two equities research analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $18.00.

Insider Activity

In other Zumiez news, Director Liliana Gil Valletta sold 6,600 shares of Zumiez stock in a transaction on Thursday, June 26th. The stock was sold at an average price of $12.82, for a total transaction of $84,612.00. Following the completion of the transaction, the director owned 10,809 shares in the company, valued at approximately $138,571.38. The trade was a 37.91% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 21.20% of the company's stock.

Zumiez Stock Up 15.5%

Shares of NASDAQ:ZUMZ traded up $2.86 during trading on Friday, hitting $21.31. The stock had a trading volume of 943,538 shares, compared to its average volume of 176,806. Zumiez Inc. has a 12 month low of $11.31 and a 12 month high of $31.37. The company has a market capitalization of $378.68 million, a PE ratio of -2,128.87 and a beta of 0.96. The firm's fifty day moving average is $15.11 and its 200 day moving average is $13.82.

Zumiez (NASDAQ:ZUMZ - Get Free Report) last announced its earnings results on Thursday, September 4th. The apparel and footwear maker reported ($0.06) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.11) by $0.05. Zumiez had a return on equity of 0.18% and a net margin of 0.06%.The firm had revenue of $214.28 million during the quarter, compared to analyst estimates of $210.53 million. During the same quarter in the prior year, the company earned ($0.04) EPS. The business's revenue was up 1.9% compared to the same quarter last year. Zumiez has set its Q3 2025 guidance at 0.190-0.290 EPS. Equities research analysts expect that Zumiez Inc. will post -0.12 EPS for the current fiscal year.

Zumiez declared that its Board of Directors has initiated a share buyback plan on Thursday, June 5th that authorizes the company to buyback $15.00 million in shares. This buyback authorization authorizes the apparel and footwear maker to reacquire up to 6% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's management believes its shares are 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.