Crossroads Capital Exits Calumet After DOE Loan Misstep and Dilutive ATM Offering
Crossroads Capital liquidated its Calumet stake after the company’s DOE loan announcement and a dilutive ATM offering eroded investor confidence. Calumet shares, which closed at $26.96 and gained 100.3% over the past year, saw hedge fund holdings fall from 18 to 17 in Q4.
1. Reasons for Stake Sale
Crossroads Capital sold its Calumet stake after the company announced a disastrous DOE loan and launched a dilutive ATM offering that destroyed confidence in management’s capital stewardship.
2. Stock Performance Metrics
Calumet shares closed at $26.96 on February 27, 2026, rose 18.61% over the prior month and 100.30% over the past 52 weeks, and hold a market capitalization of $2.34 billion.
3. Hedge Fund Exposure Trends
The number of hedge funds holding Calumet decreased from 18 to 17 in the fourth quarter of 2025 and Crossroads removed the stock from its top five holdings citing ongoing management issues.
4. Comparative Outlook
In place of Calumet, Crossroads is shifting focus toward AI stocks, identifying them as offering higher upside potential and lower downside risk than Calumet despite its recent rally.