Idera Pharmaceuticals Inc (IDRA): Are Hedge Funds Right About This Stock?

Because Idera Pharmaceuticals Inc (NASDAQ:IDRA) has witnessed falling interest from the smart money, it’s easy to see that there were a few hedgies that slashed their full holdings heading into Q4. Interestingly, Arthur B Cohen and Joseph Healey’s Healthcor Management LP dropped the biggest stake of all the hedgies tracked by Insider Monkey, comprising about $5 million in stock, and Malcolm Fairbairn’s Ascend Capital was right behind this move, as the fund sold off about $0.9 million worth of shares.

Let’s now review hedge fund activity in other stocks similar to Idera Pharmaceuticals Inc (NASDAQ:IDRA). We will take a look at Culp, Inc. (NYSE:CFI), Vicor Corp (NASDAQ:VICR), Blue Hills Bancorp Inc (NASDAQ:BHBK), and Sangamo Biosciences, Inc. (NASDAQ:SGMO). This group of stocks’ market valuations are closest to IDRA’s market valuation.

As you can see these stocks had an average of 14 hedge funds with bullish positions and the average amount invested in these stocks was $38 million. That figure was $53 million in IDRA’s case. Sangamo Biosciences, Inc. (NASDAQ:SGMO) is the most popular stock in this table. On the other hand Blue Hills Bancorp Inc (NASDAQ:BHBK) is the least popular one with only 10 bullish hedge fund positions. Idera Pharmaceuticals Inc (NASDAQ:IDRA) is not the most popular stock in this group, but the hedge fund sentiment is close to the average. This is a slightly positive signal, but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard SGMO might be a better candidate to consider a long position.