Are Investors Right To Be Bullish On Nevro Corp (NVRO)?

As one would reasonably expect, specific money managers have been driving this bullishness. Deerfield Management, managed by James E. Flynn, created the most outsized position in Nevro Corp (NYSE:NVRO). Paul Marshall and Ian Wace’s Marshall Wace LLP also initiated a $6.6 million position during the quarter. The other funds with brand new NVRO positions are Warren Lammert’s Granite Point Capital, Citadel Investment Group, and Hal Mintz’s Sabby Capital.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Nevro Corp (NYSE:NVRO), but similarly valued. We will take a look at NetScout Systems, Inc. (NASDAQ:NTCT), G-III Apparel Group, Ltd. (NASDAQ:GIII), Swift Transportation Co (NYSE:SWFT), and Press Ganey Holdings Inc (NYSE:PGND). This group of stocks’ market caps are closest to NVRO’s market cap.

As you can see these stocks had an average of 19.75 hedge funds with bullish positions and the average amount invested in these stocks was $250 million. That figure was $391 million in NVRO’s case. Swift Transportation Co (NYSE:SWFT) is the most popular stock in this table. On the other hand G-III Apparel Group, Ltd. (NASDAQ:GIII) is the least popular one with only 11 bullish hedge fund positions. Compared to these stocks Nevro Corp (NYSE:NVRO) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None