FS Capital Partners VI, LLC Reduces Stake in Arhaus Inc

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FS Capital Partners VI, LLC, a Los Angeles-based investment firm, recently reduced its stake in Arhaus Inc. This article provides an in-depth analysis of the transaction, the profiles of both FS Capital Partners VI, LLC and Arhaus Inc, and the potential implications of this move on the stock market.

Details of the Transaction

The transaction took place on August 16, 2023, with FS Capital Partners VI, LLC reducing its holdings in Arhaus Inc by 13,800,000 shares. This move had a significant impact on the firm's portfolio, decreasing it by 44.08%. The shares were traded at a price of $10.17 each. Despite the reduction, Arhaus Inc still constitutes a significant 95.54% of FS Capital Partners VI, LLC's portfolio, and the firm holds a 31.46% stake in the company.

Profile of FS Capital Partners VI, LLC

FS Capital Partners VI, LLC is an investment firm located at 11100 SANTA MONICA BLVD., SUITE 1900, LOS ANGELES, CA 90025. The firm currently has only one stock in its portfolio, Arhaus Inc. The total equity of FS Capital Partners VI, LLC is estimated to be around $318 million. 1692718261046607872.png

Overview of Arhaus Inc

Arhaus Inc, symbolized as ARHS, is a lifestyle brand and omnichannel retailer of premium home furniture based in the USA. The company had its Initial Public Offering (IPO) on November 4, 2021. Arhaus Inc operates in a single segment and has a market capitalization of $1.45 billion. The current stock price is $10.31. 1692718242902048768.png

Financial Performance of Arhaus Inc

Arhaus Inc has a PE Percentage of 9.12. The company's GF Score is 28/100, indicating a poor future performance potential. The company's Financial Strength is ranked 6/10, and its Profitability Rank is 5/10. The Piotroski F-Score is 6, and the Altman Z score is 3.36. The company's Cash to Debt ratio is 0.39, and its interest coverage is 273.66. The company's ROE and ROA are 77.03 and 16.73, respectively.

Growth Metrics of Arhaus Inc

Arhaus Inc has shown significant growth over the past three years. The company's revenue growth is 35.60%, EBITDA growth is 74.10%, and earning growth is 127.70%.

Momentum Indicators of Arhaus Inc

The company's RSI 5 Day is 22.86, RSI 9 Day is 32.34, and RSI 14 Day is 39.12. The Momentum Index 6 - 1 Month is -19.57, and the Momentum Index 12 - 1 Month is 20.90.

Largest Guru Holder of Arhaus Inc

The largest guru holder of Arhaus Inc is Gotham Asset Management, LLC.

Transaction Analysis

The reduction of FS Capital Partners VI, LLC's stake in Arhaus Inc is a significant move that could influence the stock's performance. Despite the reduction, Arhaus Inc still constitutes a significant portion of the firm's portfolio, indicating the firm's continued confidence in the company. However, the impact of this transaction on the stock market and the future performance of Arhaus Inc remains to be seen.

All data and rankings are accurate as of August 19, 2023.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.