EXACT Sciences Corporation (EXAS)’s Growth Signals Good News for Hedge Funds

Of the funds tracked by Insider Monkey, billionaire David E. Shaw’s D. E. Shaw holds the number one position in EXACT Sciences Corporation (NASDAQ:EXAS). D E Shaw has a $22.1 million position in the stock, comprising less than 0.1% of its 13F portfolio. On D E Shaw’s heels is Israel Englander’s Millennium Management, which holds a $12.9 million position. Some other members of the smart money that are bullish contain Samuel Isaly’s OrbiMed Advisors, Spencer M. Waxman’s Shannon River Fund Management and Steve Cohen’s Point72 Asset Management.

Since EXACT Sciences Corporation (NASDAQ:EXAS) has experienced falling interest from the aggregate hedge fund industry, logic holds that there lies a certain “tier” of hedgies who were dropping their full holdings heading into Q2. At the top of the heap, Roberto Mignone’s Bridger Management dumped the biggest stake of the “upper crust” of funds followed by Insider Monkey, totaling about $14.2 million in stock. Philippe Laffont’s fund, Coatue Management, also dumped its stock, about $10.4 million worth. These moves are interesting, as total hedge fund interest was cut by 4 funds heading into Q2.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as EXACT Sciences Corporation (NASDAQ:EXAS) but similarly valued. We will take a look at Sunrun Inc (NASDAQ:RUN), Virtus Investment Partners Inc (NASDAQ:VRTS), CalAmp Corp. (NASDAQ:CAMP), and ICF International Inc (NASDAQ:ICFI). This group of stocks’ market valuations are closest to EXAS’s market valuation.

As you can see these stocks had an average of 13 hedge funds with bullish positions and the average amount invested in these stocks was $70 million. That figure was $74 million in EXAS’s case. CalAmp Corp. (NASDAQ:CAMP) is the most popular stock in this table. On the other hand Virtus Investment Partners Inc (NASDAQ:VRTS) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks EXACT Sciences Corporation (NASDAQ:EXAS) 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