TCS Capital and Coliseum Capital Piling Up More Shares of These 2 Companies

Several Form 4 filings submitted with the SEC revealed that Christopher Shackelton and Adam Gray’s Coliseum Capital LLC has been gradually piling up more shares of Accuride Corporation (NYSE:ACW). The investment firm purchased 754,504 shares last week at prices ranging from $2.41 to $2.75, enlarging its stake to 8.22 million shares. Coliseum Capital disclosed a 7.15 million-share position in the manufacturer and supplier of commercial vehicle components through its 13F filing for the June quarter. The shares of the company are 40% in the red year-to-date and it appears that they are currently seeking a bottom. Accuride Corporation (NYSE:ACW)’s third-quarter financial results revealed earlier this month could not put a stop to the downtrend its shares have been riding since the beginning of the year. The company’s net sales decreased 11.2% year-on-year to $163.4 million, mainly owing to lower pricing as a result of reduced material costs, and softening end-market conditions at Brillion Iron Works. It is also worth pointing out that the shares of Accuride are currently trading an attractive forward P/E ratio of 10.44, which compares to 17.65 for the S&P 500. Hence, this might represent a good trading opportunity should analysts’ earnings estimates be accurate.

The stock also lost some of its appeal among the hedge funds tracked by Insider Monkey during the second quarter, with the number of money managers invested in the company dropping to 14 from 20 quarter-over-quarter. Similarly, the value of the money poured into the stock decreased to $43.97 million from $58.69 million. These hedge funds amassed nearly 24% of the company’s shares at the end of June. Peter Schliemann’s Rutabaga Capital Management held its position in Accuride Corporation (NYSE:ACW) unchanged during the second quarter at 2.86 million shares.

Disclosure: None