Prentice Capital Management Goes All-In on a JetBlue Turnaround, According to Recent SEC Filing

On November 14, 2025, Prentice Capital Management, LP disclosed a buy of 1,542,959 shares of JetBlue (NASDAQ:JBLU), increasing its stake by an estimated $8.1 million.

What Happened

According to a filing with the Securities and Exchange Commission dated November 14, 2025, Prentice Capital Management, LP increased its position in JetBlue by 1,542,959 shares during the third quarter. The post-trade position totaled approximately 2,276,428 shares, with a reported market value of $11.2 million as of September 30, 2025. JetBlue accounted for 17.1% of the fund’s 13F assets under management.

What Else to Know

Trade direction: buy; JetBlue position is 17.1% of 13F AUM, ranking as the fund’s 1st-largest holding.

Top holdings after the filing:

• NASDAQ:JBLU: $11.2 million (17.1% of AUM)
• NYSE:SNAP: $9.1 million (13.9% of AUM)
• NASDAQ:GRPN: $8.3 million (12.6% of AUM)
• NASDAQ:PTON: $6.9 million (10.5% of AUM)
• NASDAQ:NN: $6.3 million (9.7% of AUM)

As of December 05, 2025, shares were priced at $4.78, down 24.9% over the past year, underperforming the S&P 500 by 38.8 percentage points.

JetBlue reported trailing twelve months revenue of $9.1 billion and a net loss of $469.0 million as of September 30, 2025.

Company Overview

Company Snapshot

• Provides air passenger transportation services, operating a diverse fleet of Airbus and Embraer aircraft across 107 destinations in the United States, Caribbean, and Latin America.
• Has a strong presence in the Northeast U.S. through a strategic partnership with American Airlines Group Inc. and serves destinations in the United States, Caribbean, and Latin America.
• Serves both leisure and business travelers seeking affordable, high-quality air travel options.

JetBlue is a U.S. low-cost airline serving domestic and international markets. The company operates a modern fleet and has strategic partnerships that enhance connectivity and network reach.

Foolish Take

According to a recent SEC filing, Prentice Capital Management, a hedge fund based out of Connecticut, has taken a large stake in JetBlue, a low-cost airline company. Here's what investors should take away from this transaction.

First of all, a little background on Prentice Capital Management. Prentice is a hedge fund that seeks out opportunities in deep value stocks, through rigorous fundamental analysis. It often invests in strong brands that have experienced a deep downturn and are in the process of a turnaround. Accordingly, Prentice's large purchase of JetBlue stock looks like a textbook maneuver given the fund's overall strategy. What's more, with this purchase, JetBlue is now Prentice's single-largest holding. In other words, it's all in on JetBlue.

As for JetBlue, the company has endured a tough stretch. Shares are down about 25% over the last 12 months. However, much of that decline came in the first half of the year. Over the last six months, the stock is virtually unchanged. Part of the reason for this stabilization is the company's incremental improvements. For example, JetBlue has reduced some costs by cutting unprofitable flight routes and restructuring some of its business.

Nevertheless, turnarounds can take a long time to come about. Therefore, average investors should remain cautious. The company will once again report earnings around the end of January 2026, which should provide a further update on its efforts to turn its fortunes around. That report could serve as an excellent opportunity for investors to check in on the health of this low-cost carrier and decide whether its turnaround remains on-time -- or whether it will be delayed.

Glossary

Assets under management (AUM): The total market value of investments managed by a fund or investment firm.

13F: A quarterly report filed by institutional investment managers disclosing their U.S. equity holdings.

Trailing twelve months (TTM): The 12-month period ending with the most recent quarterly report.

Net position change: The difference in the number or value of shares held before and after a transaction.

Reportable U.S. equity assets: U.S. stock holdings that must be disclosed in regulatory filings by investment managers.

Stake: The ownership interest or shareholding an investor has in a company.

Strategic partnership: A formal agreement between companies to collaborate for mutual benefit, often to expand market reach or capabilities.

Market value: The current total worth of an investment based on its latest price.

Holding: A security or asset owned by an investor or fund.

Fund: An investment vehicle pooling money from multiple investors to buy securities.

Equity: Ownership interest in a company, typically in the form of stocks.

Fleet: The group of aircraft operated by an airline.

Jake Lerch has positions in Snap and has the following options: long January 2026 $9 calls on Snap. The Motley Fool has positions in and recommends Peloton Interactive. The Motley Fool has a disclosure policy.