Culp Inc sees $672k stock acquisition by 22NW Fund

In recent transactions, 22NW Fund, LP has made significant purchases of Culp Inc (NYSE:CULP) common stock, totaling $672,302. The acquisitions took place on March 18 and 19, 2025, with shares bought at prices ranging from $5.35 to $5.5977 per share. The timing appears strategic, as InvestingPro data shows the stock has gained nearly 12% over the past week, while analysts set an $8 price target.

The transactions were executed by Aron R. English, along with associated entities including 22NW, LP, 22NW Fund GP, LLC, and 22NW GP, Inc. These purchases have increased the total shares owned by 22NW Fund to 1,859,061 in the small-cap company, which currently has a market capitalization of approximately $67 million.

Culp Inc, a company based in High Point, North Carolina, is known for its operations in the broadwoven fabric mills industry. The recent stock purchases highlight continued interest and investment by 22NW Fund in the company’s future prospects. According to InvestingPro, while the company maintains healthy liquidity with a current ratio of 1.68, its overall financial health score is currently weak. Get deeper insights into insider trading patterns and 8 additional key ProTips with an InvestingPro subscription.

In other recent news, Culp Inc. announced its financial results for the first quarter of 2025, revealing a significant earnings miss. The company reported a loss per share of $0.33, contrary to the anticipated gain of $0.04, and revenue of $52.3 million, which fell short of the expected $62 million. This performance marks a 13.5% year-over-year decline in net sales, with a net loss of $4.1 million. Despite these setbacks, Culp Inc. remains optimistic about future growth, expecting net sales growth by the fourth quarter and a return to profitability in fiscal 2026. The company’s restructuring initiatives in its Mattress Fabrics segment have led to improved operating efficiencies and reduced costs. Additionally, Culp Inc. is focusing on expanding its market share in both mattress and hospitality contract businesses. These developments come amidst ongoing challenges in the home furnishings and bedding industries, with the company strategizing to navigate tariffs and potential industry consolidation.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.