Edward S. Lampert of ESL Investments has reported acquiring around 173,600 shares of Sears Hometown and Outlet Stores Inc (NASDAQ:SHOS). The securities have been purchased in three transactions at an average price of $20.62 apiece. Following the purchase, Mr. Lampert holds directly around 5.53 million shares of Sears Hometown, and another 5.78 million shares are held indirectly.
While, Mr. Lampert, who is the CEO of Sears Holdings Corp (NASDAQ:SHLD), the company which Sears Hometown was spun-off from, is one of the largest shareholders, some other “hedgies” disclosed holding shares of Sears Hometown and Outlet Stores Inc (NASDAQ:SHOS) in the previous round of 13F filings. Debra Fine‘s Fine Capital Partners and Brett Barakett‘s Tremblant Capital have been bullish on the company, upping their stakes by 13% and 2% respectively, to some 998,400 shares and 961,900 shares.
As mentioned above, Sears Hometown and Outlet Stores Inc (NASDAQ:SHOS) is a spin-off from the retailer company Sears Holdings Corp (NASDAQ:SHLD), which is engaged in sale of home appliances, hardware, tools and lawn and garden equipment. For the previous fiscal year, the company reported a small decline in net sales to $32 million, and a net income of $35.55 million, significantly down from $60.08 million a year earlier. The stock of Sears Hometown and Outlet Stores Inc (NASDAQ:SHOS), edged down by around 5% since the beginning of the year, and trails a P/E of 14.xx, versus an industry average of 58.xx.
Recently, Mr. Lampert disclosed a significant position in another Sears Holdings Corp (NASDAQ:SHLD) spin-off, Lands’ End, Inc. (NASDAQ:LE), in which it holds 15.5 million shares, which account for nearly 49% of the outstanding stock. At the same time, ESL Investments’ most valuable stake from the latest 13F was Sears Holdings Corp, in which the fund managed by Mr. Lampert revealed a $1.3 billion stake, with 26.44 million shares.