Hedge Funds Are Betting On Ariad Pharmaceuticals, Inc. (ARIA)

As one would reasonably expect, some big names have been driving this bullishness. Redmile Group, managed by Jeremy Green, created the most outsized position in Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA). The fund reportedly had $29.3 million invested in the company at the end of the quarter. Warren Lammert’s Granite Point Capital also initiated a $6.3 million position during the quarter. The following funds were also among the new ARIA investors: John Overdeck and David Siegel’s Two Sigma Advisors, Joel Greenblatt’s Gotham Asset Management, and Cliff Asness’s AQR Capital Management.

Let’s go over hedge fund activity in other stocks similar to Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA). These stocks are BlackRock Credit All Inc Trust IV (NYSE:BTZ), Grupo Financiero Galicia S.A. (ADR) (NASDAQ:GGAL), Brink’S Co (NYSE:BCO), and Federal-Mogul Corporation (NASDAQ:FDML). This group of stocks’ market caps resemble ARIA’s market cap.

As you can see these stocks had an average of 12 hedge funds with bullish positions and the average amount invested in these stocks was $500 million. That figure was $564 million in ARIA’s case. Brink’S Co (NYSE:BCO) is the most popular stock in this table. On the other hand BlackRock Credit All Inc Trust IV (NYSE:BTZ) is the least popular one with only 3 bullish hedge fund positions. Compared to these stocks Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA) 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.