Synageva Biopharma Corp (GEVA) Acquisition Helps Baker Bros. Advisors Top All Others In Q2 Returns

With the acquisition of Pharmacyclics Inc (NASDAQ:PCYC) in the first quarter, Incyte Corporation (NASDAQ:INCY) became Baker Bros. Advisors top stock pick for the second quarter. The fund owned 14.85 million shares of the company valued at slightly over $1 billion as of March 31. Incyte Corporation (NASDAQ:INCY) also had a big hand in making Baker Bros. Advisors the best performing hedge fund for the second quarter, as the shares of the biopharmaceutical company were up by 13.7% during the second quarter. The company announced on July 7 that it has entered into a multi-year collaboration and research support agreement with Vanderbilt University’s Vanderbilt-Ingram Cancer Center (VICC). Ken Griffin‘s Citadel Investment Group is bullish on Incyte Corporation (NASDAQ:INCY) as well, with the fund increasing its stake by 130% to over 680,000 shares during the March quarter.

In-line with the performance of the top two stock picks, another of Baker Bros. Advisors’ top stock picks, Seattle Genetics, Inc.(NASDAQ:SGEN), was also up significantly, by 21.89% during the second quarter. Baker Bros. Advisors owned over 28.0 million shares or over 20% of the outstanding shares of Seattle Genetics, Inc. (NASDAQ: SGEN), valued at slightly over $1 billion as of March 31. The biotechnology company has collaborated with nearly 20 entities for use of its monoclonal antibody-drug conjugate technology to fight cancer. Analysts have an average recommendation on Seattle Genetics, Inc. (NASDAQ: SGEN) of ‘Overweight’ on the stock, although the average price target is set at only $44.89, well below its current trading price of $47.54, as it’s shot past analysts’ expectations. Jerome Pfund and Michael Sjostrom’s Sectoral Asset Management is also a major shareholder of Seattle Genetics.

Disclosure: None