Hedge Funds Are Torn On Callidus Software Inc. (CALD)

Seeing as Callidus Software Inc. (NASDAQ:CALD) has experienced no change in sentiment from hedge fund managers, there were also a select few funds who were dropping their full holdings during the third quarter. Intriguingly, Richard Driehaus’ Driehaus Capital sold off the biggest investment of the 700 funds tracked by Insider Monkey, totaling close to $12.4 million in stock, and Eric Semler’s TCS Capital Management was right behind this move, as the fund sold off about $3 million worth of CALD shares. These bearish behaviors are important to note, as total hedge fund interest stayed the same (this is a bearish signal in our experience).

Let’s now review hedge fund activity in other stocks similar to Callidus Software Inc. (NASDAQ:CALD). We will take a look at MaxLinear, Inc. (NYSE:MXL), China Lodging Group, Ltd (ADR) (NASDAQ:HTHT), HudBay Minerals Inc Ord Shs (NYSE:HBM), and Emergent Biosolutions Inc (NYSE:EBS). This group of stocks’ market valuations are closest to CALD’s market valuation.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
MXL 24 169598 -2
HTHT 16 118561 1
HBM 9 88043 -3
EBS 14 135032 -3

As you can see these stocks had an average of 16 hedge funds with bullish positions and the average amount invested in these stocks was $128 million. That figure was $130 million in CALD’s case. MaxLinear, Inc. (NYSE:MXL) is the most popular stock in this table. On the other hand HudBay Minerals Inc Ord Shs (NYSE:HBM) is the least popular one with only 9 bullish hedge fund positions. Callidus Software Inc. (NASDAQ:CALD) 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 MXL might be a better candidate to consider a long position in.

Disclosure: None