Do Hedge Funds Love Lannett Company, Inc. (LCI)?

Now, key hedge funds have jumped into Lannett Company, Inc. (NYSE:LCI) headfirst. Marshall Wace LLP, managed by Paul Marshall and Ian Wace, initiated the largest position in Lannett Company, Inc. (NYSE:LCI). Marshall Wace LLP had $5.6 million invested in the company at the end of the quarter. Chao Ku’s Nine Chapters Capital Management also initiated a $3.2 million position during the quarter. The other funds with new positions in the stock are Ken Griffin’s Citadel Investment Group, Mike Vranos’s Ellington, and Andy Redleaf’s Whitebox Advisors.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Lannett Company, Inc. (NYSE:LCI) but similarly valued. These stocks are Invesco Mortgage Capital Inc (NYSE:IVR), Applied Industrial Technologies (NYSE:AIT), Core-Mark Holding Company, Inc. (NASDAQ:CORE), and Sabra Health Care REIT Inc (NASDAQ:SBRA). This group of stocks’ market caps match LCI’s market cap.

As you can see these stocks had an average of 10.5 hedge funds with bullish positions and the average amount invested in these stocks was $98 million. That figure was $132 million in LCI’s case. Invesco Mortgage Capital Inc (NYSE:IVR) is the most popular stock in this table. On the other hand Sabra Health Care REIT Inc (NASDAQ:SBRA) is the least popular one with only 8 bullish hedge fund positions. Compared to these stocks Lannett Company, Inc. (NYSE:LCI) 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.