Lululemon Athletica inc. (LULU), Noble Corporation (NE) & How Hedge Funds Have Bought In..Big

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Billionaire Steve Cohen’s SAC Capital Advisors owned about 750,000 shares of American Woodmark Corporation (NASDAQ:AMWD) according to a 13G filing (research Cohen’s stock picks). The $470 million market cap manufacturer of kitchen cabinets (on average about 140,000 shares are traded daily, so at a current price of over $30 there is more than $4 million of daily dollar volume) is tied to the housing market, explaining the stocks beta of 1.8 and its 78% rise in the last year as the markets have looked towards rising prices and construction activity. American Woodmark has been beating expectations in recent quarters, though the forward P/E is high at 26.

Santarus, Inc. (NASDAQ:SNTS), a $1.2 billion market cap biotechnology company, had Jacob Gottlieb’s Visium Asset Management report more than doubling the number of shares in its portfolio since the beginning of the year. Sales of Santarus’s lead product, Glumetza (which is used by type two diabetes patients) increased as the drug spent a full year on the market, and it is now responsible for about two-thirds of the company’s total sales. Earnings multiples are quite high, but investor optimism from the combination of Glumetza, the development portfolio, and other factors have pushed the stock up over 200% in the last year.

Disclosure: I own no shares of any stocks mentioned in this article.

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