SCHEDULE: Major Shareholder Group Sells EGAIN Corp Stock

A group led by David L. Kanen and Kanen Wealth Management LLC has significantly reduced its stake in EGAIN Corp through multiple sales over the past sixty days.

Summary

• Kanen Wealth Management LLC and its affiliated funds (Philotimo Fund, LP and Philotimo Focused Growth & Income Fund) collectively beneficially own 1,682,010 shares of EGAIN Corp, representing approximately 6.3% of the outstanding common stock as of November 5, 2025.
• This group, led by David L. Kanen, has engaged in numerous sales of EGAIN Corp common stock over the past sixty days.
• Philotimo Fund, LP sold 670,941 shares at prices ranging from $6.3205 to $15.3419 between September 4, 2025, and November 5, 2025.
• Philotimo Focused Growth & Income Fund sold 110,864 shares at prices ranging from $9.0000 to $15.3419 between September 15, 2025, and November 5, 2025.
• Kanen Wealth Management LLC sold 51,307 shares at prices ranging from $13.3800 to $15.0514 between October 13, 2025, and October 30, 2025.
• The aggregate purchase price for the remaining beneficially owned shares by Philotimo is approximately $6,094,385, for PHLOX is approximately $4,893,654, for Managed Accounts is approximately $1,529,261, and for Mr. Kanen's direct shares is approximately $127,085.

Sentiment

Score: 3

Explanation: The sentiment is negative due to significant share sales by a major shareholder group, indicating a reduction in their position. While they still hold a substantial stake, the selling activity suggests a lack of conviction or a strategic exit from a portion of their investment.

Negatives

• Significant sales of common stock by a major shareholder group, indicating a reduction in their stake.
• Philotimo Fund, LP sold 670,941 shares.
• Philotimo Focused Growth & Income Fund sold 110,864 shares.
• Kanen Wealth Management LLC sold 51,307 shares.
• The sales occurred across a range of prices, including higher price points, suggesting a strategic reduction in position.

Future Outlook

NA

Industry Context

This filing reflects a significant reduction in stake by a major institutional investor group in EGAIN Corp. Such movements can sometimes signal a shift in investor sentiment or portfolio rebalancing, which may or may not be tied to broader industry trends. Without further context on EGAIN Corp's specific industry performance or the investor's overall strategy, it is difficult to draw direct industry-wide conclusions.

Stakeholder Impact

• Shareholders: May view the significant sales by a major investor group as a negative signal, potentially leading to downward pressure on the stock price.
• Company Management: May need to address investor concerns regarding the selling activity from a prominent shareholder.

Key Dates

Recommendation

The significant and consistent selling activity by a major shareholder group, including Kanen Wealth Management LLC and its affiliated funds, over the past sixty days suggests a lack of strong conviction in the company's near-term prospects or a strategic portfolio reallocation away from EGAIN Corp. While the group still retains a substantial stake, the volume and frequency of sales, even at higher price points, indicate a bearish outlook from this informed investor. This action could signal potential headwinds or a belief that the stock has reached its near-term peak, making a 'sell' recommendation prudent for investors considering the implications of such insider activity.

Keywords

EGAIN Corp, EGAN, Schedule 13D, Shareholder Activity, Insider Sales, Kanen Wealth Management, Philotimo Fund, Beneficial Ownership, Stock Sales