This Fund Sold Out of Klaviyo Before a Brutal 32% Post-Earnings Drop
Key Points
Glynn Capital sold 456,805 shares of Klaviyo in the first quarter; the estimated transaction value was $9.80 million (based on quarterly average prices).
The quarter-end position value decreased by $14.83 million, reflecting both trading and price movement.
The trade represented a 4.68% shift in reported 13F assets under management.
The position was previously 5.1% of the fund's AUM as of the prior quarter.
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On May 7, 2026, Glynn Capital Management disclosed in a U.S. Securities and Exchange Commission (SEC) filing that it sold all 456,805 shares of Klaviyo (NYSE:KVYO) in the first quarter, an estimated $9.80 million transaction based on quarterly average pricing.
What happened
According to an SEC filing dated May 7, 2026, Glynn Capital Management sold all 456,805 shares of Klaviyo during the first quarter. The estimated transaction value was $9.80 million, based on the average share price from January through March. The fund’s quarter-end position in Klaviyo dropped to zero, with the value decline of $14.83 million reflecting both the share sale and stock price movement.
What else to know
- Glynn Capital Management LLC sold out of Klaviyo in the quarter, leaving the position at zero and removing it from reportable 13F assets (n/a % of AUM post-trade)
- Top holdings after the filing:
- NYSE: OSCR: $29.7 million
- NYSE: TSM: $21.1 million
- NYSE: VRT: $17.9 million
- NYSE: NU: $12.9 million
- NYSE: TOST: $11.4 million
- As of May 7, 2026, shares of Klaviyo were priced at $15.77, down 53% over the past year and well underperforming the S&P 500’s roughly 30% gain in the same period.
Company overview
| Metric | Value |
|---|---|
| Revenue (TTM) | $1.23 billion |
| Net income (TTM) | ($31.8 million) |
| Market capitalization | $4.77 billion |
| Price (as of market close May 7, 2026) | $15.77 |
Company snapshot
- Klaviyo offers a cloud-based marketing automation platform, including email, SMS, mobile push notifications, product reviews, and a customer data platform.
- The firm generates revenue primarily through subscription-based software-as-a-service (SaaS) offerings, enabling businesses to personalize and automate customer communications at scale.
- It serves individuals, small and medium-sized enterprises, and companies across North America, Western Europe, Canada, the United Kingdom, Australia, and New Zealand.
Klaviyo, Inc. provides a scalable SaaS platform focused on marketing automation and customer data management for businesses seeking to optimize digital engagement. The company's strategy centers on enabling personalized, data-driven communications across multiple channels, supporting customer acquisition and retention. Klaviyo's competitive edge lies in its integrated product suite and its ability to serve a broad range of clients, from small enterprises to larger organizations, across several major international markets.
What this transaction means for investors
Glynn exited the position before Klaviyo’s latest earnings report, and in hindsight, the timing looks pretty sharp given the stock’s brutal 32% collapse after results on May 5, despite what were strong numbers.
Revenue jumped 28% year over year to $358 million, while non-GAAP operating income nearly doubled to $58.6 million. The company also raised full-year revenue guidance to as much as $1.522 billion and expanded its share repurchase program with a $500 million authorization. Customer growth remained healthy too, with total customers surpassing 196,000 and larger accounts generating more than $50,000 in ARR climbing 38%.
The problem appears less about execution and more about valuation pressure and slowing expectations across software. Investors were likely hoping for even faster AI monetization, especially after management heavily emphasized its “autonomous” platform strategy, and it seems same-quarter revenue projections failed to impress investors. Plus, the CFO’s decision to step down only adds to uncertainty.
For long-term investors, the selloff may create a more interesting setup than existed a few months ago. Klaviyo still has nearly $985 million in cash, improving margins, and strong retention metrics. But the stock’s reaction is also a reminder that in software, good results are not always enough when expectations get too far ahead of fundamentals.
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Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nu Holdings, Taiwan Semiconductor Manufacturing, Toast, and Vertiv. The Motley Fool has a disclosure policy.
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