EATZ: 2nd Quarter 2021 Portfolio Manager Review
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Returns less than one year are not annualized. For the fund’s most recent standardized and month-end performance, please click www.advisorshares.com/etfs/eatz.
The AdvisorShares Restaurant (EATZ) launched April 20, 2021. In the short time since then, the Fund showed just a small loss of -1.01% on both its market price and net asset value (NAV).
While the Fund’s overall performance is largely tied to the success of the restaurant industry, we aim for relative outperformance through good individual security selection and successful trading.
In future quarterly updates, I will mention new securities added to the portfolio. While I did add some companies in the short period since the Fund’s initial launch, it’s not worth mentioning since the Fund was only about 40 days old on June 30!
Contributors / Detractors:
In the short period since launch, losers outnumbered winners. COVID is definitely weighing on restaurant stocks. We view it an opportunity for investors as the full COVID recovery should still come in the future.
Pizza stocks have been up! Dominos (NYSE: DPZ) gained over 17% from fund launch 4/20/21 through 6/30/21. Papa Johns (NASDAQ: PZZA) was up more than 11% for the same period. Wingstop (NASDAQ: WING) gained over 14% for the Fund. A couple notable negatives were Chuys Holdings (NASDAQ: CHUY) was down over 15% from fund launch through June 30. Brinker International (NYSE: EAT) was down almost 8%. For this short period of time, there’s clearly a difference between delivered foods and dine-in restaurants.
|Ticker||Security Description||Portfolio Weight %|
|CHUY||CHUY’S HOLDINGS INC||6.01%|
|TXRH||TEXAS ROADHOUSE INC||5.41%|
|RUTH||RUTH’S HOSPITALITY GROUP INC||5.37%|
|BLMN||BLOOMIN’ BRANDS INC||5.00%|
|DIN||DINE BRANDS GLOBAL INC||4.99%|
|RICK||RCI HOSPITALITY HOLDINGS INC||4.92%|
|FRGI||FIESTA RESTAURANT GROUP||4.86%|
|JACK||JACK IN THE BOX INC||4.58%|
|DPZ||DOMINO’S PIZZA INC||4.54%|
|PZZA||PAPA JOHN’S INTL INC||4.35%|
As of 6.30.2021. Cash is not included.
Please see our complete Fund holdings at advisorshares.com/etfs/eatz. The holdings details are updated each market day.