Here is What Hedge Funds Think About Santarus, Inc. (SNTS) – PDL BioPharma Inc. (PDLI), Sarepta Therapeutics Inc (SRPT)

Page 1 of 2

Is Santarus, Inc. (NASDAQ:SNTS) a buy, sell, or hold? Hedge funds are betting on the stock. The number of bullish hedge fund positions rose by 1 lately.

In the eyes of most traders, hedge funds are perceived as unimportant, old financial tools of years past. While there are over 8000 funds in operation at present, we at Insider Monkey choose to focus on the bigwigs of this club, around 450 funds. It is estimated that this group oversees most of the hedge fund industry’s total asset base, and by paying attention to their highest performing investments, we have discovered a few investment strategies that have historically outperformed the S&P 500 index. Our small-cap hedge fund strategy beat the S&P 500 index by 18 percentage points per year for a decade in our back tests, and since we’ve started sharing our picks with our subscribers at the end of August 2012, we have topped the S&P 500 index by 24 percentage points in 7 months (see all of our picks from August).

Santarus, Inc. (NASDAQ:SNTS)

Equally as integral, optimistic insider trading activity is another way to break down the marketplace. As the old adage goes: there are plenty of motivations for an upper level exec to sell shares of his or her company, but only one, very simple reason why they would behave bullishly. Various academic studies have demonstrated the market-beating potential of this tactic if you understand what to do (learn more here).

With these “truths” under our belt, let’s take a look at the recent action regarding Santarus, Inc. (NASDAQ:SNTS).

How have hedgies been trading Santarus, Inc. (NASDAQ:SNTS)?

Heading into 2013, a total of 16 of the hedge funds we track held long positions in this stock, a change of 7% from the third quarter. With hedgies’ positions undergoing their usual ebb and flow, there exists a few key hedge fund managers who were upping their holdings substantially.

According to our comprehensive database, SAC Capital Advisors, managed by Steven Cohen, holds the most valuable position in Santarus, Inc. (NASDAQ:SNTS). SAC Capital Advisors has a $36.8 million position in the stock, comprising 0.2% of its 13F portfolio. Coming in second is Jim Simons of Renaissance Technologies, with a $25.5 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Remaining peers that hold long positions include Kevin Kotler’s Broadfin Capital, Jacob Gottlieb’s Visium Asset Management and Robert B. Gillam’s McKinley Capital Management.

Now, specific money managers have been driving this bullishness. Visium Asset Management, managed by Jacob Gottlieb, initiated the most valuable position in Santarus, Inc. (NASDAQ:SNTS). Visium Asset Management had 16.9 million invested in the company at the end of the quarter. Robert B. Gillam’s McKinley Capital Management also made a $3.8 million investment in the stock during the quarter. The other funds with new positions in the stock are Mark Kingdon’s Kingdon Capital and Paul Tudor Jones’s Tudor Investment Corp.

What have insiders been doing with Santarus, Inc. (NASDAQ:SNTS)?

Bullish insider trading is particularly usable when the company we’re looking at has experienced transactions within the past half-year. Over the latest six-month time period, Santarus, Inc. (NASDAQ:SNTS) has seen 1 unique insiders buying, and 12 insider sales (see the details of insider trades here).

Let’s also examine hedge fund and insider activity in other stocks similar to Santarus, Inc. (NASDAQ:SNTS). These stocks are MannKind Corporation (NASDAQ:MNKD), PDL BioPharma Inc. (NASDAQ:PDLI), Sarepta Therapeutics Inc (NASDAQ:SRPT), Lexicon Pharmaceuticals, Inc. (NASDAQ:LXRX), and VIVUS, Inc. (NASDAQ:VVUS). This group of stocks are in the biotechnology industry and their market caps resemble SNTS’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!