Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Steve Cohen Makes Big Purchases in Renewable Energy Group Inc (REGI) and NxStage Medical, Inc. (NXTM)

Page 1 of 2

Steve Cohen‘s Point72 Asset Management has loaded up on significant amounts of Renewable Energy Group Inc (NASDAQ:REGI) and NxStage Medical, Inc. (NASDAQ:NXTM) shares, according to two Schedule 13G forms filed with the Securities and Exchange Commission. The fund’s enhanced stake in Renewable Energy is now comprised of 2.25 million shares, up from 341,000 shares on March 31, while in NxStage Medical, Inc. (NASDAQ:NXTM) the family office’s holding spiked to 3.16 million shares from some 994,700 shares. Other affiliated entities through which the stakes were acquired include Point72 Capital Advisors, Inc., Cubist Systematic Strategies, LLC, and EverPoint Asset Management, LLC.

Steven Cohen

Most investors don’t have enough time to do in-depth analysis on each stock that they want to include in their portfolios. Professional investors, like Cohen, spend weeks conducting due diligence on each company and spend millions on obtaining information and paying the salaries of Ivy League educated analysts. That’s why we have always believed that imitating the stock picks of hedge funds and billionaires is an excellent short cut we can take. It doesn’t cost an arm and a leg either. We analyzed the historical stock picks of these investors and our research revealed that the small cap picks of hedge funds performed better than the market and their large-cap picks. A portfolio of 15 most popular small caps among several hedge funds outperformed the S&P 500 Total Return Index by 95 basis points per month between 1999 and 2012. The exceptional results of this strategy got even better in the forward tests we have been conducting since the end of August 2012. The most popular small-cap stocks among hedge funds beat the market by more than 79 percentage points since then (see the details here).

Born out of the revamping of the former S.A.C. Capital Advisors into a family office for Cohen and his employees, Point72 had an impressive first quarter. The fund gained some 7.5% during the first three months of the year, while the market value of Point72’s public equity portfolio stood at $14.67 billion at the end of the first quarter, with a majority of its holdings belonging to the energy and consumer discretionary sectors.


Coming back to the fund’s  new holding in Renewable Energy Group Inc (NASDAQ:REGI), which represents 5.1% of the company’s outstanding common stock, the $543.92 million company is a biodiesel producer operating in the United States with a nationwide distribution network. The stock gained more than 16% yesterday on the heels of a Piper Jaffray upgrade to ‘Outperform’ from ‘Neutral, with a price target of $15. The development has its grounds in the latest proposal from the US Environmental Protection Agency’s (EPA) for Renewable Fuel Standard (RFS) volumes. According to the amount of Renewable Volume Obligation (RVO), decided by the agency for three years, Renewable Energy Group Inc (NASDAQ:REGI)’s margins are expected to improve considerably owing to increased revenue from the sale of Renewable Identification Numbers (RIN).

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!