Because Celldex Therapeutics, Inc. (NASDAQ:CLDX) has experienced a decline in interest from the aggregate hedge fund industry, we can see that there exists a select few money managers who were dropping their positions entirely in the third quarter. At the top of the heap, Mitchell Blutt’s Consonance Capital Management dropped the largest stake of the 700 funds followed by Insider Monkey, totaling about $19 million in stock, and Behzad Aghazadeh’s venBio Select Advisor was right behind this move, as the fund cut about $8.9 million worth of shares.
Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as Celldex Therapeutics, Inc. (NASDAQ:CLDX) but similarly valued. We will take a look at Diodes Incorporated (NASDAQ:DIOD), TherapeuticsMD Inc (NYSEMKT:TXMD), MBIA Inc. (NYSE:MBI), and Outerwall Inc (NASDAQ:OUTR). This group of stocks’ market caps match CLDX’s market cap.
|Ticker||No of HFs with positions||Total Value of HF Positions (x1000)||Change in HF Position|
As you can see these stocks had an average of 21 hedge funds with bullish positions and the average amount invested in these stocks was $194 million. That figure was just $52 million in CLDX’s case. MBIA Inc. (NYSE:MBI) is the most popular stock in this table. On the other hand Diodes Incorporated (NASDAQ:DIOD) and TherapeuticsMD Inc (NYSEMKT:TXMD) are the least popular ones with only 13 bullish hedge fund positions. Celldex Therapeutics, Inc. (NASDAQ:CLDX) is not the least popular stock in this group, but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard MBI might be a better candidate to consider a long position.