Should You Avoid Spectrum Pharmaceuticals, Inc. (SPPI)?

Because Spectrum Pharmaceuticals, Inc. (NASDAQ:SPPI) has sustained declining sentiment from the smart money, we can see that there were a few money managers who were dropping their positions entirely last quarter. It’s worth mentioning that Joel Greenblatt’s Gotham Asset Management cut the largest stake of all the investors followed by Insider Monkey, valued at about $0.3 million in stock. David Costen Haley’s fund, HBK Investments, also dropped its stock, about $0.2 million worth.

Let’s go over hedge fund activity in other stocks similar to Spectrum Pharmaceuticals, Inc. (NASDAQ:SPPI). We will take a look at Heska Corp (NASDAQ:HSKA), Peapack-Gladstone Financial Corp (NASDAQ:PGC), China Cord Blood Corp (NYSE:CO), and Atlantic Capital Bancshares Inc (NASDAQ:ACBI). All of these stocks’ market caps are similar to SPPI’s market cap.

As you can see these stocks had an average of 8.5 hedge funds with bullish positions and the average amount invested in these stocks was $41 million. That figure was $40 million in SPPI’s case. Heska Corp (NASDAQ:HSKA) is the most popular stock in this table. On the other hand China Cord Blood Corp (NYSE:CO) is the least popular one with only 5 bullish hedge fund positions. Spectrum Pharmaceuticals, Inc. (NASDAQ:SPPI) is the most popular stock in this group along with HSKA. Given that info, the stock might be worth a closer look.

Disclosure: None