Victory Capital Management Inc. has significantly altered its investment in Everi Holdings Inc., a notable move in the financial landscape. This strategic adjustment reflects a recalculated approach to their portfolio, drawing attention from market observers. The firm’s recent filing with the Securities & Exchange Commission illuminates the extent of this change, underscoring the dynamic nature of institutional investment strategies.
Specifically, Victory Capital Management Inc. reduced its position in shares of Everi Holdings Inc. by a substantial 51.0% during the first quarter. This divestment translated to the sale of 46,419 shares, leaving the fund with 44,620 shares of the credit services provider’s stock. At the close of the most recent quarter, Victory Capital Management Inc.’s remaining stake in Everi was valued at approximately $610,000, representing about 0.05% of the company’s total outstanding shares.
While Victory Capital scaled back its holdings, several other institutional investors and prominent hedge funds pursued a contrasting strategy, actively increasing their stakes in Everi Holdings Inc. Westchester Capital Management LLC, for instance, significantly raised its position in Everi by 41.1% in the fourth quarter. This move saw them acquire an additional 521,218 shares, bringing their total ownership to 1,789,246 shares, valued at $24,173,000.
Continuing this trend of increased investment, Eisler Capital Management Ltd. established a new position in Everi shares during the fourth quarter, with their newly acquired stake valued at approximately $5,912,000. Marshall Wace LLP demonstrated an even more aggressive expansion, lifting its stake in Everi by an astonishing 3,126.6% in the same period. This substantial increase involved purchasing an additional 415,833 shares, resulting in a total holding of 429,133 shares worth $5,798,000.
The bullish sentiment among certain investors extended further, with AQR Arbitrage LLC boosting its position in Everi by 27.5% during the fourth quarter. They added 405,831 shares, bringing their total to 1,880,202 shares, valued at a considerable $25,402,000. Similarly, Water Island Capital LLC augmented its presence in Everi, increasing its position by 14.5% in the fourth quarter, acquiring an additional 370,704 shares, which pushed their total to 2,924,921 shares valued at $39,516,000.
The collective actions of these institutional players underscore a strong belief in Everi’s market potential, as evidenced by the fact that a significant 95.47% of the company’s stock is currently owned by hedge funds and other institutional investors. This high level of institutional ownership often indicates confidence in a company’s long-term prospects, despite individual adjustments like that seen from Victory Capital.
In terms of market performance, Everi Holdings Inc. shares commenced trading on Friday at $14.24. The company has experienced a 52-week low of $8.68 and a 52-week high of $14.25, reflecting recent volatility. With a market capitalization of $1.24 billion, a PE ratio of 89.01, and a beta of 1.22, the stock presents a unique profile within its sector, indicative of its growth potential and market sensitivity.
Further financial metrics reveal Everi’s operational health and market standing. The stock’s fifty-day moving average stands at $14.21, closely aligned with its two-hundred-day moving average of $13.90, suggesting a relatively stable recent trend. The company also maintains a debt-to-equity ratio of 3.60, a quick ratio of 1.00, and a current ratio of 1.08, providing insights into its financial leverage and liquidity.
Everi Holdings Inc. itself is a key player in the gaming industry, focusing on developing and supplying entertaining game content, gaming machines, and comprehensive gaming systems and services. They cater to both land-based and iGaming operators across the United States, Canada, and international markets. Operating through distinct Games and Financial Technology Solutions segments, Everi offers a diverse portfolio including classic mechanical reel games, video reel games, and the popular TournEvent of Champions, alongside selling gaming equipment and licensing content.
