Here is What Hedge Funds Think About Canadian Solar Inc. (CSIQ)

Because Canadian Solar Inc. (NASDAQ:CSIQ) has experienced bearish sentiment from the smart money, logic holds that there lies a certain “tier” of hedgies who sold off their entire stakes heading into Q4. At the top of the heap, Clifford Fox’s Columbus Circle Investors dumped the largest stake of the 700 funds monitored by Insider Monkey, totaling about $29.1 million in stock. Jacob Gottlieb’s fund, Visium Asset Management, also dumped its holding, about $11.2 million worth of CSIQ shares. These bearish behaviors are intriguing to say the least, as total hedge fund interest was cut by 10 funds heading into Q4.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Canadian Solar Inc. (NASDAQ:CSIQ) but similarly valued. These stocks are Repligen Corporation (NASDAQ:RGEN), Green Dot Corporation (NYSE:GDOT), Albany International Corp. (NYSE:AIN), and PTC Therapeutics, Inc. (NASDAQ:PTCT). All of these stocks’ market caps are similar to CSIQ’s market cap.

As you can see these stocks had an average of 18 hedge funds with bullish positions and the average amount invested in these stocks was $99 million. That figure was $106 million in CSIQ’s case. PTC Therapeutics, Inc. (NASDAQ:PTCT) is the most popular stock in this table, while Albany International Corp. (NYSE:AIN) is the laggard with only 12 bullish hedge fund positions. Canadian Solar Inc. (NASDAQ:CSIQ) is not the most popular stock in this group, but hedge fund interest is still above average. While this is a slightly positive signal, we’d rather spend our time researching stocks that hedge funds are piling on. In this regard PTCT might be a better candidate to consider a long position.