Elite Hedge Funds Make Bigger Moves Into These 2 Stocks

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Moving on, Baker Bros. Advisors is among the few funds that needs no introduction. Founded by brothers Julian Baker and Felix Baker in 2000, the New York-based fund has not only been one of the most successful healthcare-focused hedge funds in the last few years, but also the most successful hedge fund overall.  The rapid M&A activity in the healthcare sector this year has resulted in Baker Bros. Advisors becoming the second-ranked hedge fund in terms of returns for the first half of 2015 among the funds tracked by Insider Monkey. Its stock picks with a market cap of over $1 billion generated a return of 108.3% on a weighted average basis through June 30. At the end of June, its U.S stock portfolio, which consisted entirely of healthcare stocks, was worth $11.4 billion and its top 10 holdings accounted for almost 80% of the value of its portfolio.

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Shares of oncology company Mirati Therapeutics, Inc. (NASDAQ:MRTX) have had a terrific rise of 141.9% year-to-date. However, more than 50% of those gains came in the past six trading sessions alone, after the company announced the first ever confirmed response in a patient suffering from non-small cell lung cancer with Axl Gene Amplification, who was treated with an orally administered small molecule inhibitor of MET. Following this announcement, analysts at Leerink Swann reiterated their ‘Outperform’ rating on the stock on September 10, while upping their price target on it to $50 from $35, followed by analysts at Wedbush Securities reiterating their ‘outperform’ rating and $45 price target on the stock the next day. During the second quarter, the number of hedge funds tracked by us that were long in the company declined by three to 11, however, the aggregate value of investors’ holdings in the company saw an increase of over $5.37 million during the same period. Apart from Baker Bros. Advisors, Kurt Von Emster‘s VenBio Select Advisor was another large shareholder of the company at the end of June, owning exactly 1.0 million shares.

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