Hedge Funds Are Crazy About ANSYS, Inc. (ANSS)

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As industrywide interest jumped, key money managers have been driving this bullishness. Bridgewater Associates, managed by Ray Dalio, created the biggest position in ANSYS, Inc. (NASDAQ:ANSS). Bridgewater Associates had $0.9 million invested in the company at the end of the quarter. George Hall’s Clinton Group also made a $0.9 million investment in the stock during the quarter. The other funds with new positions in the stock are Matthew Tewksbury’s Stevens Capital Management, Alec Litowitz and Ross Laser’s Magnetar Capital, and Matthew Hulsizer’s PEAK6 Capital Management.

Let’s also examine hedge fund activity in other stocks similar to ANSYS, Inc. (NASDAQ:ANSS). We will take a look at IHS Inc. (NYSE:IHS), Polaris Industries Inc. (NYSE:PII), Unum Group (NYSE:UNM), and Goodyear Tire & Rubber Company (NASDAQ:GT). All of these stocks’ market caps resemble ANSYS, Inc. (NASDAQ:ANSS)’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
IHS 25 874968 6
PII 20 401145 0
UNM 28 364047 0
GT 36 1707910 -6

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 $837 million. That figure was $428 million in ANSYS, Inc. (NASDAQ:ANSS)’s case. The Goodyear Tire & Rubber Company (NASDAQ:GT) is the most popular stock in this table. On the other hand, Polaris Industries Inc. (NYSE:PII) is the least popular one with only 20 bullish hedge fund positions. Compared to these stocks, ANSYS, Inc. (NASDAQ:ANSS) is even less popular than Polaris Industries Inc. (NYSE:PII). Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case, more research is warranted.

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