Rosetta Stone Inc (RST): David Nierenberg’s Latest Activist Venture

C&J Energy Services Inc (NYSE:CJES)‘s position in Nierenberg’s portfolio comprised of 919,000 shares valued at $19.7 million. Among over 700 hedge funds that we track, a number of them trimmed their stake in the company as the aggregate amount invested in the company at the end of the fourth quarter fell to $96.29 million from $289.64 million a quarter earlier. Israel Englander‘s Millenium Management was one such firm that reduced its holding by 64% in the fourth quarter to 227,700 shares valued at $3.60 million.

C&J Energy Services Inc (NYSE:CJES) dipped by some 64% during the last year. The provider of hydraulic fracturing, coiled tubing, wireline and other complementary services with a focus on well completions has been badly affected by the tumbling oil prices.

Rosetta Stone Inc (NYSE:RST) is Nierenberg Investment’s fourth largest holding as the fund held some 1.8 million shares of the provider of cloud-based language learning solutions, valued at $22.27 million. The company’s stock has dipped by about 21% over the last year, with a large part of that decline coming after Rosetta Stone Inc (NYSE:RST) missed fourth quarter estimates. Net loss per share of $1.01 was $0.88 lower than expected, while revenues of $79.25 missed the mark by $2.07 million. The company is aiming to cut its consumer product investments and instead focus on enterprise/education opportunities. Among the hedge funds that we track, John W. Roger’s Ariel Investments had the largest holding in the company with 3.85 million shares valued at $37.57 million

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