Zac Hirzel founded Hirzel Capital Management, a Dallas, Texas-based activist hedge fund, in 2008. At the end of June, Hirzel Capital’s U.S public equity portfolio was worth slightly above $1 billion, with stocks from the consumer discretionary and financial sectors accounting for 26% and 20% of the value of the portfolio respectively. By hedge fund standards, the fund runs a fairly concentrated portfolio, reporting stakes in only 23 companies at the end of June and its top ten holdings represented 67% of the value of its portfolio. We pay attention to hedge funds’ moves because our research has shown that...