ThredUp Inc. (NASDAQ:TDUP) Sees Large Increase in Short Interest

Key Points

• ThredUp Inc. experienced a significant increase in short interest, rising by 43.0% in September, with 14,660,000 shares sold short as of September 30th.
• Brokerages have issued new price targets for ThredUp, including an upgrade from Wells Fargo from $10.00 to $13.00, reflecting varied ratings amongst analysts with a consensus rating of "Moderate Buy."
• Insider trading activity included the CFO selling 50,000 shares and a Director selling 105,000 shares, leading to notable decreases in their ownership stakes.

ThredUp Inc. (NASDAQ:TDUP - Get Free Report) was the recipient of a significant growth in short interest in the month of September. As of September 30th, there was short interest totaling 14,660,000 shares, a growth of 43.0% from the September 15th total of 10,250,000 shares. Based on an average daily trading volume, of 2,180,000 shares, the short-interest ratio is currently 6.7 days. Approximately 15.5% of the shares of the company are sold short. Approximately 15.5% of the shares of the company are sold short. Based on an average daily trading volume, of 2,180,000 shares, the short-interest ratio is currently 6.7 days.

Analysts Set New Price Targets

Several brokerages have weighed in on TDUP. Northland Securities set a $14.00 target price on ThredUp in a research report on Tuesday, August 5th. Needham & Company LLC reaffirmed a "hold" rating on shares of ThredUp in a research report on Thursday, September 4th. Wells Fargo & Company increased their target price on ThredUp from $10.00 to $13.00 and gave the stock an "overweight" rating in a research report on Tuesday, August 5th. Northland Capmk raised ThredUp to a "strong-buy" rating in a research report on Monday, July 21st. Finally, Telsey Advisory Group raised their price target on ThredUp from $9.00 to $12.00 and gave the company an "outperform" rating in a report on Tuesday, August 5th. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, ThredUp has a consensus rating of "Moderate Buy" and a consensus target price of $13.00.

Insider Buying and Selling at ThredUp

In other ThredUp news, CFO Sean Sobers sold 50,000 shares of the stock in a transaction on Thursday, August 7th. The stock was sold at an average price of $10.04, for a total value of $502,000.00. Following the sale, the chief financial officer directly owned 427,390 shares of the company's stock, valued at $4,290,995.60. This trade represents a 10.47% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Coretha M. Rushing sold 105,000 shares of the stock in a transaction on Thursday, August 21st. The stock was sold at an average price of $10.82, for a total value of $1,136,100.00. Following the completion of the sale, the director directly owned 148,197 shares in the company, valued at $1,603,491.54. This represents a 41.47% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 255,000 shares of company stock worth $2,642,100 over the last ninety days. 27.00% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Bank of America Corp DE boosted its stake in ThredUp by 42.6% during the fourth quarter. Bank of America Corp DE now owns 77,456 shares of the company's stock valued at $108,000 after buying an additional 23,156 shares in the last quarter. Bank of New York Mellon Corp boosted its stake in ThredUp by 5.2% during the first quarter. Bank of New York Mellon Corp now owns 188,338 shares of the company's stock valued at $454,000 after buying an additional 9,254 shares in the last quarter. Victory Capital Management Inc. bought a new position in ThredUp during the first quarter valued at about $25,000. BloombergSen Inc. boosted its stake in ThredUp by 98.5% during the first quarter. BloombergSen Inc. now owns 1,269,649 shares of the company's stock valued at $3,060,000 after buying an additional 630,101 shares in the last quarter. Finally, Skandinaviska Enskilda Banken AB publ boosted its stake in ThredUp by 15.9% during the first quarter. Skandinaviska Enskilda Banken AB publ now owns 23,914 shares of the company's stock valued at $58,000 after buying an additional 3,285 shares in the last quarter. 89.08% of the stock is owned by institutional investors and hedge funds.

ThredUp Price Performance

Shares of TDUP opened at $8.98 on Thursday. The firm has a market capitalization of $1.11 billion, a price-to-earnings ratio of -18.33 and a beta of 1.71. The company has a debt-to-equity ratio of 0.27, a quick ratio of 0.96 and a current ratio of 0.96. ThredUp has a one year low of $0.50 and a one year high of $12.28. The stock's fifty day moving average is $10.15 and its 200-day moving average is $7.93.

About ThredUp

ThredUp Inc, together with its subsidiaries, operates an online resale platform in the United States and internationally. Its platform enables consumers to buy and sell primarily secondhand apparel, shoes, and accessories. ThredUp Inc was incorporated in 2009 and is headquartered in Oakland, California.

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