Intra-Cellular Therapies Inc (ITCI): Hedge Fund Sentiment Takes A Turn for the Worse

Because Intra-Cellular Therapies Inc (NASDAQ:ITCI) has faced declining sentiment from the entirety of the hedge funds we track, it’s easy to see that there was a specific group of hedgies that slashed their positions entirely by the end of the third quarter. It’s worth mentioning that Samuel Isaly’s OrbiMed Advisors dumped the largest stake of the “upper crust” of funds monitored by Insider Monkey, comprising an estimated $34.4 million in stock. Oleg Nodelman’s fund, EcoR1 Capital, also dumped its stock, about $9.5 million worth. These bearish behaviors are interesting, as total hedge fund interest dropped by 6 funds by the end of the third quarter.

Let’s check out hedge fund activity in other stocks similar to Intra-Cellular Therapies Inc (NASDAQ:ITCI). We will take a look at California Water Service Group (NYSE:CWT), Time Inc (NYSE:TIME), Ambarella Inc (NASDAQ:AMBA), and TherapeuticsMD Inc (OTC:TXMD). This group of stocks’ market caps resemble ITCI’s market cap.

As you can see these stocks had an average of 15.25 hedge funds with bullish positions and the average amount invested in these stocks was $154 million. That figure was $75 million in ITCI’s case. Time Inc (NYSE:TIME) is the most popular stock in this table. On the other hand California Water Service Group (NYSE:CWT) is the least popular one with only 11 bullish hedge fund positions. Intra-Cellular Therapies Inc (NASDAQ:ITCI) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on lately. In this regard TIME might be a better candidate to consider a long position in.

Disclosure: None