Optimist Fund’s Investment Thesis for ThredUp (TDUP) is Paying Off

Core Insights - Optimist Fund reported its strongest investment performance in Q2 2025, achieving a return of 39.2%, significantly outperforming its benchmark which returned 11.3% [1] Company Overview: ThredUp Inc. (NASDAQ:TDUP) - ThredUp Inc. is an online resale platform focused on secondhand apparel, shoes, and accessories, with a market capitalization of $1.33 billion as of September 15, 2025 [2] - The stock experienced a remarkable one-year return of 1,062.54% and a one-month return of 1.98% [2] Financial Performance - ThredUp Inc. reported a revenue growth of 16.4% year-over-year, reaching $77.7 million in Q2 2025 [4] - The company exceeded expectations in Q1 2025 and raised its guidance for Q2 and the full year, indicating a positive outlook for future performance [3] Investment Sentiment - ThredUp Inc. was held by 25 hedge fund portfolios at the end of Q2 2025, an increase from 13 in the previous quarter, reflecting growing interest among institutional investors [4] - Despite its strong performance, some analysts suggest that certain AI stocks may offer greater upside potential with less downside risk compared to ThredUp Inc. [4]