Is Intevac, Inc. (IVAC) A Good Stock To Buy?

Because Intevac, Inc. (NASDAQ: IVAC) has experienced a decline in interest from the smart money, it’s safe to say that there exists a select few funds that slashed their entire stakes last quarter. Intriguingly, Ben Levine, Andrew Manuel and Stefan Renold’s LMR Partners dumped the biggest stake of all the hedgies monitored by Insider Monkey, worth an estimated $0.1 million in stock. Gavin Saitowitz and Cisco J. del Valle’s fund, Springbok Capital, also cut its stock, about $0 million worth. These transactions are intriguing to say the least, as total hedge fund interest dropped by 1 funds last quarter.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Intevac, Inc. (NASDAQ:IVAC) but similarly valued. These stocks are SCYNEXIS Inc (NASDAQ:SCYX), Lakeland Industries, Inc. (NASDAQ:LAKE), Nicholas Financial, Inc. (NASDAQ:NICK), and Managed High Yield Plus Fund Inc. (NYSE:HYF). All of these stocks’ market caps are closest to IVAC’s market cap.

As you can see these stocks had an average of six hedge funds with bullish positions and the average amount invested in these stocks was $13 million, significantly below the $40 million that funds held collectively in IVAC. SCYNEXIS Inc (NASDAQ:SCYX) is the most popular stock in this table. On the other hand Nicholas Financial, Inc. (NASDAQ:NICK) is the least popular one with only four bullish hedge fund positions. Intevac, Inc. (NASDAQ:IVAC) is not the most popular stock in this group, but hedge fund interest is above average. We can view it as a slightly positive signal, but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard SCYX might be a better candidate to consider a long position.