Calavo Growers, Inc. (CVGW): Are Hedge Funds Right About This Stock?

Page 2 of 2

Now, key hedge funds have jumped into Calavo Growers, Inc. (NASDAQ:CVGW) headfirst. Gotham Asset Management, led by Joel Greenblatt, established the biggest position in Calavo Growers, Inc. (NASDAQ:CVGW). Gotham Asset Management had $0.9 million invested in the company at the end of the quarter. D. E. Shaw’s D E Shaw also made a $0.5 million investment in the stock during the quarter. The other funds with new positions in the stock are Peter Algert and Kevin Coldiron’s Algert Coldiron Investors, Paul Tudor Jones’s Tudor Investment Corp, and John Overdeck and David Siegel’s Two Sigma Advisors.

Let’s also examine hedge fund activity in other stocks similar to Calavo Growers, Inc. (NASDAQ:CVGW). We will take a look at Astronics Corporation (NASDAQ:ATRO), Q2 Holdings Inc (NYSE:QTWO), Tennant Company (NYSE:TNC), and Super Micro Computer, Inc. (NASDAQ:SMCI). This group of stocks’ market valuations are closest to CVGW’s market valuation.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
ATRO 9 15129 1
QTWO 12 36339 -2
TNC 10 117320 -2
SMCI 13 49744 3

As you can see these stocks had an average of 11 hedge funds with bullish positions and the average amount invested in these stocks was $55 million. That figure was $59 million in CVGW’s case. Super Micro Computer, Inc. (NASDAQ:SMCI) is the most popular stock in this table. On the other hand Astronics Corporation (NASDAQ:ATRO) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks Calavo Growers, Inc. (NASDAQ:CVGW) 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

Page 2 of 2