Do Hedge Funds Love Dyax Corp. (DYAX)?

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Due to the fact that Dyax Corp. (NASDAQ:DYAX) has witnessed declining sentiment from the entirety of the hedge funds we track, it’s safe to say that there exists a select few hedge funds who sold off their entire stakes heading into Q4. Interestingly, Jacob Gottlieb’s Visium Asset Management cut the biggest position of the 700 funds watched by Insider Monkey, valued at about $11.1 million in stock. Eric Bannasch’s fund, Cadian Capital, also dumped its stock, about $2.7 million worth. These bearish behaviors are interesting, as total hedge fund interest fell by 1 funds heading into Q4.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as Dyax Corp. (NASDAQ:DYAX) but similarly valued. These stocks are G-III Apparel Group, Ltd. (NASDAQ:GIII), Mercury General Corporation (NYSE:MCY), Deluxe Corporation (NYSE:DLX), and Emcor Group Inc (NYSE:EME). All of these stocks’ market caps match DYAX’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
GIII 18 177738 -1
MCY 8 17969 0
DLX 25 148096 0
EME 23 229515 3

As you can see these stocks had an average of 18.5 hedge funds with bullish positions and the average amount invested in these stocks was $143 million. That figure was $513 million in DYAX’s case. Deluxe Corporation (NYSE:DLX) is the most popular stock in this table. On the other hand Mercury General Corporation (NYSE:MCY) is the least popular one with only 8 bullish hedge fund positions. Compared to these stocks Dyax Corp. (NASDAQ:DYAX) 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.

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