SCHEDULE: ValueWorks Reduces Mammoth Energy Stake Below 5%

ValueWorks entities and Charles Lemonides have reduced their collective beneficial ownership in Mammoth Energy Services, Inc. to 4.96% of common stock.

Summary

• ValueWorks LLC and Charles Lemonides now beneficially own 2,389,031 shares of Mammoth Energy Services, Inc. common stock, representing 4.96% of the class.
• ValueWorks Limited Partners, LP and ValueWorks Capital, LLC each beneficially own 1,891,521 shares, representing 3.93% of the class.
• All reporting persons hold shared voting and shared dispositive power over their reported shares.
• The filing is an Amendment No. 3 to a Schedule 13G, indicating a change from a previous filing where beneficial ownership was likely above 5%.
• The securities are held for investment purposes and not with the intent to change or influence control of the issuer.
• The shares are directly owned by advisory clients of ValueWorks LLC, with no single client deemed to beneficially own more than 5% of the common stock.

Sentiment

Score: 4

Explanation: The filing indicates a reduction in beneficial ownership by ValueWorks entities and Charles Lemonides, falling below the 5% threshold. While not an active 'sell' recommendation, a reduction in stake by a significant institutional investor can be perceived negatively as it may signal a change in their investment thesis or outlook on the company's prospects.

Negatives

• Reporting persons, including ValueWorks LLC and Charles Lemonides, have reduced their beneficial ownership in Mammoth Energy Services, Inc. to below the 5% threshold, now holding 4.96% of common stock, implying a divestment.

Risks

• A significant institutional investor, ValueWorks, has reduced its stake in Mammoth Energy Services, Inc., which could signal a change in investment strategy or outlook regarding the company's future prospects.

Future Outlook

NA

Industry Context

This filing reflects a change in an institutional investor's position in Mammoth Energy Services, Inc., an oilfield services company. Such changes can occur due to portfolio rebalancing, changes in investment thesis, or broader market conditions within the energy services sector.

Stakeholder Impact

• Shareholders: May interpret the reduction in stake by ValueWorks as a negative signal, potentially impacting share price due to perceived loss of institutional confidence.

Key Dates

Recommendation

The filing indicates a reduction in beneficial ownership by ValueWorks entities, falling below the 5% threshold. While this is a passive filing and not an active 'sell' signal, the divestment by a notable institutional investor suggests a re-evaluation of the investment. Existing investors should consider this reduction in institutional support and re-evaluate their own positions, potentially holding to observe further developments or considering a partial divestment if their investment thesis aligns with ValueWorks' apparent shift.

Keywords

Mammoth Energy Services, MEM, ValueWorks, Charles Lemonides, Schedule 13G, beneficial ownership, institutional investment, energy services, oilfield services