Managed by Matthew Drapkin and Steven R. Becker, Becker Drapkin Management revealed a new stake in XO Group Inc (NYSE:XOXO). A recent 13D filing shows that the fund owns 1.94 million shares, which amount to 7.20% of the company’s common stock total.
Formerly The Knot, Inc., global media and technology company XO Group Inc (NYSE:XOXO) provides products and advice to guide young women through transformative events such as weddings and pregnancy. On March 13, 2014, the company’s stock dropped nearly 18.00% to $9.78. The same day XO Group appointed Michael Steib to the Board of Directors and as the new Chief Executive Officer. Since then, its shares bounced back, currently quoted at around $11.35.
In 2013, XO Group Inc (NYSE:XOXO) generated earnings of $0.28 per share, a negative surprise of 38.65% compared to forecast estimates. Trading at a trailing Price to Earnings ratio of more than 88.00, the company is expected to deliver EPS in the range of $-0.11 per share to $0.19 this year, and an average of $0.33 in financial 2013. The mean recommendation for the stock is ‘Hold’, market experts suggesting that the company is slightly overpriced.
Jim Simons‘ Renaissance Technologies and John W. Rogers‘ Ariel Investments are two other funds which hold large positions in XO Group Inc (NYSE:XOXO). The former owns some 648,000 shares in the company, while the latter nearly 1.12 million. Recently, Wallace Weitz‘ Wallace R. Weitz & Co. surged its holding of the stock to 2.80 million shares, which account for 10.44% of the company’s aggregate common stock outstanding.
Almost entirely concentrated in Services and Technology stocks, Becker Drapkin Management’s equity portfolio is worth more than $191.00 million. Approximately 27.40% of the portfolio’s value is invested in Comverse Inc (NASDAQ:CNSI), a provider of software and systems enabling services. A month ago, the fund reduced its exposure to Response Genetics, Inc. (NASDAQ:RGDX), now holding 1.53 million shares – 4.00% of the company’s total common stock.
