Hedge Funds Are Crazy About Zogenix, Inc. (ZGNX)

Page 1 of 2

Is Zogenix, Inc. (NASDAQ:ZGNX) a healthy stock for your portfolio? Hedge funds are betting on the stock. The number of long hedge fund positions rose by 1 in recent months.

Zogenix, Inc. (NASDAQ:ZGNX)In today’s marketplace, there are a multitude of gauges shareholders can use to analyze the equity markets. Some of the most useful are hedge fund and insider trading movement. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the best investment managers can outpace the S&P 500 by a significant amount (see just how much).

Just as important, positive insider trading activity is another way to parse down the investments you’re interested in. As the old adage goes: there are lots of reasons for an executive to downsize shares of his or her company, but just one, very simple reason why they would initiate a purchase. Various academic studies have demonstrated the market-beating potential of this method if piggybackers understand what to do (learn more here).

With all of this in mind, it’s important to take a look at the latest action surrounding Zogenix, Inc. (NASDAQ:ZGNX).

What does the smart money think about Zogenix, Inc. (NASDAQ:ZGNX)?

At the end of the fourth quarter, a total of 7 of the hedge funds we track held long positions in this stock, a change of 17% from one quarter earlier. With hedge funds’ sentiment swirling, there exists a select group of notable hedge fund managers who were upping their holdings substantially.

According to our comprehensive database, Baker Bros. Advisors, managed by Julian Baker and Felix Baker, holds the largest position in Zogenix, Inc. (NASDAQ:ZGNX). Baker Bros. Advisors has a $2.7 million position in the stock, comprising 0.1% of its 13F portfolio. On Baker Bros. Advisors’s heels is Royce & Associates, managed by Chuck Royce, which held a $2 million position; less than 0.1%% of its 13F portfolio is allocated to the stock. Some other peers with similar optimism include Israel Englander’s Millennium Management, James E. Flynn’s Deerfield Management and Gregory Fraser, Rudolph Kluiber, and Timothy Kroch’s GRT Capital Partners.

As aggregate interest increased, key money managers have jumped into Zogenix, Inc. (NASDAQ:ZGNX) headfirst. Deerfield Management, managed by James E. Flynn, assembled the most outsized position in Zogenix, Inc. (NASDAQ:ZGNX). Deerfield Management had 1.3 million invested in the company at the end of the quarter.

What do corporate executives and insiders think about Zogenix, Inc. (NASDAQ:ZGNX)?

Insider trading activity, especially when it’s bullish, is at its handiest when the company we’re looking at has experienced transactions within the past six months. Over the last half-year time frame, Zogenix, Inc. (NASDAQ:ZGNX) has seen 4 unique insiders buying, and zero insider sales (see the details of insider trades here).

Let’s also review hedge fund and insider activity in other stocks similar to Zogenix, Inc. (NASDAQ:ZGNX). These stocks are Horizon Pharma Inc (NASDAQ:HZNP), Ampio Pharmaceuticals, Inc. (NASDAQ:AMPE), AcelRx Pharmaceuticals Inc (NASDAQ:ACRX), SIGA Technologies, Inc. (NASDAQ:SIGA), and TherapeuticsMD Inc (OTC:TXMD). All of these stocks are in the drug manufacturers – major industry and their market caps match ZGNX’s market cap.

Page 1 of 2

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Click here to Read Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 74 percentage points in 2.5 years. Our beta is only 1.2 (download a FREE newsletter and see the details inside)

Lists

Best Selling Magazines in the World

Shortest People in History

The Most Celebrated Holidays in the World

Most Expensive Handbag Brands in the World

Top Selling Comic Book Issues of this Century

The Most Powerful Women in Politics

Best Paid DJs

Most Rebellious Female Artists

Best Paid TV Actresses of 2014

Best Paid Actors of 2014

Most Expensive Horses in the World

Tallest People Ever

Most Encouraging Feminist Celebrities

Best Paid Supermodels of 2014

Top 10 Suburbs for Retirement in 2015

10 Wealthiest Cities in America

Top 10 TED Talks for Entrepreneurs

Best TED Talks on Education

25 Most Dangerous Places to Live in America

Top 10 Ski Resorts in the United States – 2014 List

Top 10 Most Remote Places in the World

Most Visited Museums in the United States

Wealthiest Photographers in the World

Most Famous Gay Athletes

The World’s Most Famous Circuses

Best Hair Stylists

Most Popular NASCAR Drivers

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!