Is Magnachip Semiconductor Corp (MX) Going to Burn These Hedge Funds?

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Consequently, some big names have been driving this bullishness. Driehaus Capital, led by Richard Driehaus, initiated the most valuable position in Magnachip Semiconductor Corp (NYSE:MX). Driehaus Capital had $9.3 million invested in the company at the end of the quarter. David Halpert’s Prince Street Capital Management also made a $4.1 million investment in the stock during the quarter. The following funds were also among the new MX investors: Mike Vranos’ Ellington, Jim Simons’ Renaissance Technologies, and Principal Global Investors’Columbus Circle Investors.

Let’s go over hedge fund activity in other stocks similar to Magnachip Semiconductor Corp (NYSE:MX). These stocks are Royce Micro Capital Trust Inc (NYSE:RMT), Bel Fuse, Inc. (NASDAQ:BELFB), Freshpet Inc (NASDAQ:FRPT), and ChemoCentryx Inc (NASDAQ:CCXI). This group of stocks’ market caps are similar to MX’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
RMT 5 20670 2
BELFB 8 14973 0
FRPT 6 14287 0
CCXI 11 60448 -1

As you can see these stocks had an average of 8 hedge funds with bullish positions and the average amount invested in these stocks was $28 million. That figure was $161 million in MX’s case. ChemoCentryx Inc (NASDAQ:CCXI) is the most popular stock in this table. On the other hand Royce Micro Capital Trust Inc (NYSE:RMT) is the least popular one with only 5 bullish hedge fund positions. Compared to these stocks Magnachip Semiconductor Corp (NYSE:MX) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None

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