Steven Cohen, SAC Capital Disclose New 5% Stake in Tile Shop Holdings

Steven Cohen‘s hedge fund SAC Capital Advisors disclosed, in a new filing with the Securities and Exchange Commission, that it has added Tile Shop Holdings, Inc. (NASDAQ:TTS) to its equity portfolio. The fund reported ownership of almost 2.6 million shares of the company, which amass 5.0% of the common stock. The stake is passive by nature, and, at the current stock price of the company, has a value of $36.7 million.


Tile Shop Holdings has been recently amid some allegations, according to which the company’s past financial statements have been inaccurate related to third party transactions. The company, however, issued a statement denying all this allegations and stating that it will investigate the matter. However, the damage was done and the stock of the company dropped significantly, and has lost 30% since then. So it could be that SAC decided to take advantage of the decline and initiated the stake.

In order to try to calm the storm, Tile Shop Holdings, reiterated its revenue guidance for 2013. The company said it expects sales in the range between $227 to $237 million, and that it plans to have 20 new stores opened by the end of the year.

For the third quarter, the company posted a net income of $4.1 million, versus a loss of over $31.8 in the same period of last year. Net sales went up by 28.3% on the year to $56.8 million. The comparative store sales growth remained almost flat over the quarter at 14.8%.

In the latest round of 13F filings, SAC reported that it holds 7.6 million shares of Yahoo! Inc. (NASDAQ:YHOO), worth $251.3 million, which is the largest stake in its equity portfolio. In Micron Technology, Inc. (NASDAQ:MU), and Zoetis Inc (NYSE:ZTS), the fund disclosed $212.6 million, and $201.5 million positions, which contain 12.2 million and 6.5 million shares respectively.

Disclosure: none

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