Quincy Lee's Teton Capital Trims Xoom Position

Quincy Lee's hedge fund Teton Capital Partners (Ancient Art LP) has filed an amended 13D with the SEC on its position in Xoom (XOOM).  Per the filing, Teton now owns 4.9% of XOOM with 1,897,323 shares.

Teton recently sold shares in late May and early June between $18.8514 and $21.0973.  Since the end of the first quarter, they've reduced their position size by 336,514 shares.  Year-to-date, XOOM shares have traded from around $18 in January up to recent levels of around $21.64.

Loosely speaking, the thesis on this name is that Xoom can take market share in the money transfer business with their digital offering from traditional players such as Western Union and Moneygram.

About Teton Capital / Ancient Art LP

Quincy Lee founded Teton Capital after working at publicly traded Rackspace.  According to The Economist, Teton returned 21% a year between 2001 and 2011.  Teton/Ancient Art is based in Austin, Texas.

About Xoom

Per Google Finance, Xoom is "engaged in the digital consumer-to-consumer international money transfer business. The Company offers money transfer services from the United States to around 32 countries and its cross-border bill payment services from the United States to approximately five countries. Xoom's solutions offer its customers a way to send money to, and pay bills for family and friends from any Internet-enabled location. The Company's operating platform provides various solutions for transferring funds internationally, such as origination, funding, disbursement and transaction processing. The Company's technology platform includes a customer interface which enables customers to send transactions from its Website, mobile Website or mobile application, using a computer, a tablet or a mobile phone; a risk management system; a transaction processing platform, and a disbursement integration platform."

Eminence Capital Adds To Xoom, Men's Wearhouse Stakes

Ricky Sandler's hedge fund firm Eminence Capital has filed a 13G and a 13D with the SEC regarding two of their positions.


Adds To Xoom Stake

First, Eminence has revealed a 6.4% ownership stake in Xoom (XOOM) with over 2.44 million shares. 

This means they've boosted their stake by over 1.57 million shares since the end of the second quarter.  The filing was required due to activity on December 9th.

Per Google Finance, Xoom is "engaged in online international money transfer service. Its customers use Xoom to send money to family and friends in 30 countries. The Company generates revenue from transaction fees charged to customers and from foreign exchange spreads on transactions where the payout currency is other than United States dollars."


Increases Men's Wearhouse Position

Second, Sandler's hedge fund also disclosed a 11.9% ownership stake in Men's Wearhouse (MW) with over 5.7 million shares in an amended 13D filing with the SEC.

Their position size is now larger to the tune of 1.15 million more shares.  The filing was required due to activity on December 16th.

The filing also notes that Eminence's standstill clause (which capped their ownership at 10%) has been amended to 12%.

Per Google Finance, Men's Wearhouse is "a specialty retailer of men's suits and a provider of tuxedo rental product in the United States and Canada. It operates in two segments: retail and corporate apparel."

For more from this manager, you can see what stocks Sandler recommended at the Robin Hood Investors Conference.