Let’s check out hedge fund activity in other stocks similar to ProNAi Therapeutics Inc (NASDAQ:DNAI). These stocks are Quanex Building Products Corporation (NYSE:NX), Tile Shop Hldgs, Inc. (NASDAQ:TTS), Walter Investment Management Corp (NYSE:WAC), and Barnes & Noble Education Inc (NYSE:BNED). This group of stocks’ market valuations are closest to DNAI’s market valuation.
|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 16.25 hedge funds with bullish positions and the average amount invested in these stocks was $179 million. That figure was $120 million in DNAI’s case. Quanex Building Products Corporation (NYSE:NX) is the most popular stock in this table. On the other hand Walter Investment Management Corp (NYSE:WAC) is the least popular one with only 5 bullish hedge fund positions. ProNAi Therapeutics Inc (NASDAQ:DNAI) 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 NX might be a better candidate to consider a long position.