ThredUp (NASDAQ:TDUP) Shares Up 7.5% – Here’s What Happened

ThredUp Inc. (NASDAQ:TDUP) shares traded up 7.5% on Wednesday . The stock traded as high as $4.73 and last traded at $4.6850. 270,508 shares were traded during mid-day trading, a decline of 89% from the average session volume of 2,360,706 shares. The stock had previously closed at $4.36.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the company. TD Cowen increased their price target on ThredUp from $5.00 to $5.70 and gave the stock a “buy” rating in a research note on Tuesday, May 5th. Weiss Ratings reissued a “sell (e+)” rating on shares of ThredUp in a research note on Friday, March 27th. Telsey Advisory Group decreased their price target on ThredUp from $9.00 to $7.00 and set an “outperform” rating on the stock in a research note on Tuesday, May 5th. Finally, Wells Fargo & Company decreased their price target on ThredUp from $10.00 to $8.00 and set an “overweight” rating on the stock in a research note on Tuesday, May 5th. Two investment analysts have rated the stock with a Strong Buy rating, three have given a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $9.14.

ThredUp Trading Down 1.2%

The stock has a market capitalization of $608.42 million, a price-to-earnings ratio of -29.53 and a beta of 2.07. The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.95 and a current ratio of 0.95. The firm has a fifty day moving average of $4.03 and a 200-day moving average of $5.29.

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

Insider Activity at ThredUp

In related news, CFO Sean Sobers sold 56,504 shares of the stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $3.82, for a total value of $215,845.28. Following the completion of the sale, the chief financial officer directly owned 555,254 shares in the company, valued at approximately $2,121,070.28. This represents a 9.24% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Patricia Nakache purchased 13,157 shares of the stock in a transaction that occurred on Tuesday, March 10th. The stock was bought at an average price of $3.73 per share, with a total value of $49,075.61. Following the completion of the acquisition, the director owned 14,017 shares in the company, valued at $52,283.41. This represents a 1,529.88% increase in their position. The SEC filing for this purchase provides additional information. 23.10% of the stock is owned by insiders.

Hedge Funds Weigh In On ThredUp

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Bank of America Corp DE boosted its position in ThredUp by 47.9% in the 1st quarter. Bank of America Corp DE now owns 345,353 shares of the company’s stock valued at $1,133,000 after buying an additional 111,829 shares during the last quarter. Amundi purchased a new position in ThredUp in the 1st quarter valued at about $90,000. Royal Bank of Canada boosted its position in ThredUp by 50.2% in the 1st quarter. Royal Bank of Canada now owns 101,062 shares of the company’s stock valued at $331,000 after buying an additional 33,781 shares during the last quarter. Empowered Funds LLC purchased a new position in ThredUp in the 1st quarter valued at about $1,338,000. Finally, Arrowstreet Capital Limited Partnership boosted its position in ThredUp by 19.0% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,965,484 shares of the company’s stock valued at $9,727,000 after buying an additional 473,907 shares during the last quarter. 89.08% of the stock is owned by hedge funds and other institutional investors.

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.