Home / NEWS / Retail / Shares of Ugg-maker Deckers drop more than 7% after activist fund dumps stake

Shares of Ugg-maker Deckers drop more than 7% after activist fund dumps stake

Interests of Deckers Outdoor, the maker of Ugg boots, dropped more than 7 percent on Monday after Marcato Main Management exited their stake in the company.

Marcato held an 8.5 percent concern at hazard in Deckers Outdoor as of Jan. 19, according to a 13D filing. The activist fund’s take to ones heels comes after its board nominees were not elected in December so it appears to be working on and that is not making some shareholders happy.

The stock was up more than 21 percent until to Monday’s drop and hit a 52-week high last week.

Deckers’ stakes also fell after a downgrade from Pivotal Research. Analyst Mitch Kummetz belittled his rating on Deckers to hold from buy and trimmed the price target to $108 from $122.

“The cast will be lapping some tough numbers in FY19, and history expresses us that this stock is not best owned following a good winter mature,” Kummetz said in a note.

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