As industrywide interest jumped, key money managers were leading the bulls’ herd. Millennium Management, managed by Israel Englander, initiated the largest position in NVIDIA Corporation (NASDAQ:NVDA). Millennium Management had $49.2 million invested in the company at the end of the quarter. Alex Sacerdote’s Whale Rock Capital Management also initiated a $17.9 million position during the quarter. The following funds were also among the new NVDA investors: Daniel S. Och’s OZ Management, Columbus Circle Investors, and Daniel S. Och’s OZ Management.
Let’s now review hedge fund activity in other stocks similar to NVIDIA Corporation (NASDAQ:NVDA). These stocks are FirstEnergy Corp. (NYSE:FE), Workday Inc (NYSE:WDAY), Red Hat, Inc. (NYSE:RHT), and Norwegian Cruise Line Holdings Ltd (NASDAQ:NCLH). This group of stocks’ market values resemble NVDA’s market value.
|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 32.75 hedge funds with bullish positions and the average amount invested in these stocks was $719 million. That figure was $456 million in NVDA’s case. Red Hat, Inc. (NYSE:RHT) is the most popular stock in this table. On the other hand FirstEnergy Corp. (NYSE:FE) is the least popular one with only 24 bullish hedge fund positions. NVIDIA Corporation (NASDAQ:NVDA) 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 RHT might be a better candidate to consider a long position.