Here is What Hedge Funds Think About Sinovac Biotech Ltd. (SVA)

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Now, some big names were breaking ground themselves. Millennium Management assembled the largest position in Sinovac Biotech Ltd. (NASDAQ:SVA). Millennium Management had $0.1 million invested in the company at the end of the quarter. Chao Ku’s Nine Chapters Capital Management also made a $0.1 million investment in the stock during the quarter.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Sinovac Biotech Ltd. (NASDAQ:SVA) but similarly valued. These stocks are United Insurance Holdings Corp. (NASDAQ:UIHC), MGP Ingredients Inc (NASDAQ:MGPI), Tangoe Inc (NASDAQ:TNGO), and SurModics, Inc. (NASDAQ:SRDX). This group of stocks’ market valuations are similar to Sinovac Biotech Ltd. (NASDAQ:SVA)’s market valuation.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
UIHC 11 22602 1
MGPI 6 9494 -1
TNGO 12 21076 2
SRDX 15 46867 0

As you can see, these stocks had an average of 11 hedge funds with bullish positions and the average amount invested in these stocks was $25 million. That figure was $23 million in Sinovac Biotech Ltd. (NASDAQ:SVA)’s case. SurModics, Inc. (NASDAQ:SRDX) is the most popular stock in this table. On the other hand, MGP Ingredients Inc (NASDAQ:MGPI) is the least popular one with only 6 bullish hedge fund positions. Sinovac Biotech Ltd. (NASDAQ:SVA) 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, SurModics, Inc. (NASDAQ:SRDX) might be a better candidate to consider a long position.

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