Monotype Imaging Holdings Inc. (TYPE): Are Hedge Funds Right About This Stock?

As one would reasonably expect, specific money managers were breaking ground themselves. RGM Capital, led by Robert G. Moses, established the most outsized position in Monotype Imaging Holdings Inc. (NASDAQ:TYPE). RGM Capital had $15.1 million invested in the company at the end of the quarter. Douglas T. Granat’s Trigran Investments also made a $6.2 million investment in the stock during the quarter. The other funds with brand new TYPE positions are Jack Ripsteen’s Potrero Capital Research, Glenn Russell Dubin’s Highbridge Capital Management, and Brian C. Freckmann’s Lyon Street Capital. We should note that two of these hedge funds (RGM Capital and Potrero Capital Research) are among our list of the 100 best performing hedge funds which is based on the performance of their 13F long positions in non-microcap stocks.

Let’s go over hedge fund activity in other stocks similar to Monotype Imaging Holdings Inc. (NASDAQ:TYPE). We will take a look at Associated Capital Group Inc (NYSE:AC), Biglari Holdings Inc (NYSE:BH), First Commonwealth Financial (NYSE:FCF), and Mitel Networks Corporation (NASDAQ:MITL). This group of stocks’ market values resemble TYPE’s market value.

As you can see these stocks had an average of eight investors with bullish positions and the average amount invested in these stocks was $51 million, versus $96 million in TYPE’s case. Mitel Networks Corporation (NASDAQ:MITL) is the most popular stock in this table, while Associated Capital Group Inc (NYSE:AC) is the least popular one with only four investors having reported long positions. Compared to these stocks Monotype Imaging Holdings Inc. (NASDAQ:TYPE) 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