Hedge Funds Are Buying Ironwood Pharmaceuticals, Inc. (IRWD)

Consequently, key money managers have jumped into Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD) headfirst. Arrowstreet Capital, managed by Peter Rathjens, Bruce Clarke and John Campbell, created the most valuable position in Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD). Arrowstreet Capital had $8.7 million invested in the company at the end of the quarter. Eric Bannasch’s Cadian Capital also initiated a $1.6 million position during the quarter. The other funds with brand new IRWD positions are Solomon Kumin’s Folger Hill Asset Management, Israel Englander’s Millennium Management, and Gavin Saitowitz and Cisco J. del Valle’s Springbok Capital.

Let’s also examine hedge fund activity in other stocks similar to Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD). We will take a look at Finisar Corporation (NASDAQ:FNSR), KBR, Inc. (NYSE:KBR), Groupon Inc (NASDAQ:GRPN), and Balchem Corporation (NASDAQ:BCPC). This group of stocks’ market valuations match IRWD’s market valuation.

As you can see these stocks had an average of 19.5 hedge funds with bullish positions and the average amount invested in these stocks was $306 million. That figure was $482 million in IRWD’s case. KBR, Inc. (NYSE:KBR) is the most popular stock in this table. On the other hand Balchem Corporation (NASDAQ:BCPC) is the least popular one with only 8 bullish hedge fund positions. Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD) 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 KBR might be a better candidate to consider taking a long position in.

Disclosure: None