It seems that the masses and most of the financial media hate hedge funds and what they do, but why is this hatred of hedge funds so prominent? At the end of the day, these asset management firms do not gamble the hard-earned money of the people who are on the edge of poverty. Truth be told, most hedge fund managers and other smaller players within this industry are very smart and skilled investors. Of course, they may also make wrong bets in some instances, but no one knows what the future holds and how market participants will react to the bountiful news that floods in each day. The S&P 500 Index gained 7.6% in the 12 month-period that ended November 21, while less than 49% of its stocks beat the benchmark. In contrast, the 30 most popular mid-cap stocks among the top hedge fund investors tracked by the Insider Monkey team returned 18% over the same period, which provides evidence that these money managers do have great stock picking abilities. That’s why we believe it isn’t a waste of time to check out hedge fund sentiment before you invest in a stock like Concordia International Corp (NASDAQ:CXRX) .
Concordia International Corp (NASDAQ:CXRX) was in 14 hedge funds’ portfolios at the end of September. CXRX has seen a decrease in hedge fund interest of late. There were 15 hedge funds in our database with CXRX holdings at the end of the previous quarter. The level and the change in hedge fund popularity aren’t the only variables you need to analyze to decipher hedge funds’ perspectives. A stock may witness a boost in popularity but it may still be less popular than similarly priced stocks. That’s why at the end of this article we will examine companies such as Q2 Holdings Inc (NYSE:QTWO), OSI Systems, Inc. (NASDAQ:OSIS), and Smart & Final Stores Inc (NYSE:SFS) to gather more data points.
Now, let’s analyze the new action surrounding Concordia International Corp (NASDAQ:CXRX).
What does the smart money think about Concordia International Corp (NASDAQ:CXRX)?
At the end of the third quarter, a total of 14 of the hedge funds tracked by Insider Monkey were bullish on this stock, a change of -7% from the previous quarter. The graph below displays the number of hedge funds with bullish position in CXRX over the last 5 quarters. So, let’s see which hedge funds were among the top holders of the stock and which hedge funds were making big moves.
According to Insider Monkey’s hedge fund database, Steve Cohen’s Point72 Asset Management has the biggest position in Concordia International Corp (NASDAQ:CXRX), worth close to $21.1 million, corresponding to 0.1% of its total 13F portfolio. The second most bullish fund manager is Ric Dillon of Diamond Hill Capital, with a $5.8 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Remaining peers that hold long positions include Renaissance Technologies, William C. Martin’s Raging Capital Management and Solomon Kumin’s Folger Hill Asset Management. We should note that Raging Capital Management is among our list of the 100 best performing hedge funds which is based on the performance of their 13F long positions in non-microcap stocks.