Shares of Deckers Outdoor (DECK) - Get Report were up by 3.47% to $58.48 on Tuesday morning, as activist investor Red Mountain Capital Partners pushed the footwear, apparel, and accessories company's board to look into a sale.
Red Mountain owns about 3.3% of Decker's outstanding shares, Reuters reports. In a letter to the company's board the firm highlighted Deckers' stock underperformance, which it claims has been driven by "management's consistently poor capital allocation decisions."
The letter follows activist hedge fund Marcato Capital Management's reported 6% stake in Deckers two months ago. Marcato had said it intended to discuss strategy and options for the struggling company, Reuters noted.