Clovis Oncology Inc (CLVS): Are Hedge Funds Right About This Stock?

With a general bullishness amongst the heavyweights, specific money managers were leading the bulls’ herd. Antipodean Advisors, managed by Eric Chen, created the biggest position in Clovis Oncology Inc (NASDAQ:CLVS). Antipodean Advisors had $120.1 million invested in the company at the end of the quarter. Andreas Halvorsen’s Viking Global also made a $76.9 million investment in the stock during the quarter. The other funds with brand new CLVS positions are Israel Englander’s Millennium Management, Jim Simons’s Renaissance Technologies, and Peter Muller’s PDT Partners.

Let’s go over hedge fund activity in other stocks similar to Clovis Oncology Inc (NASDAQ:CLVS). We will take a look at Rackspace Hosting, Inc. (NYSE:RAX), Blue Buffalo Pet Products Inc (NASDAQ:BUFF), HEALTHSOUTH Corp. (NYSE:HLS), and DealerTrack Technologies Inc (NASDAQ:TRAK). This group of stocks’ market caps resemble CLVS’s market cap.

As you can see these stocks had an average of 27 hedge funds with bullish positions and the average amount invested in these stocks was $481 million. That figure was $1216 million in CLVS’s case. DealerTrack Technologies Inc (NASDAQ:TRAK) is the most popular stock in this table. On the other hand HEALTHSOUTH Corp. (NYSE:HLS) is the least popular one with only 22 bullish hedge fund positions. Clovis Oncology Inc (NASDAQ:CLVS) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard TRAK might be a better candidate to consider a long position.