How Atlas Financial Holdings Inc (AFH) Stacks Up Against Its Peers

Due to the fact that Atlas Financial Holdings Inc (NASDAQ:AFH) has experienced a decline in interest from the smart money, it’s safe to say that there lies a certain “tier” of hedge funds that slashed their full holdings heading into Q4. At the top of the heap, Richard Driehaus’ Driehaus Capital dropped the largest stake of all the hedgies watched by Insider Monkey, valued at an estimated $5.4 million in stock. Mark Coe’s fund, Coe Capital Management, also cut its stock, about $0.6 million worth.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Atlas Financial Holdings Inc (NASDAQ:AFH) but similarly valued. These stocks are Orion Marine Group, Inc. (NYSE:ORN), Senomyx Inc. (NASDAQ:SNMX), Gladstone Capital Corporation (NASDAQ:GLAD), and Arbutus Biopharma Corp (NASDAQ:ABUS). This group of stocks’ market caps are similar to AFH’s market cap.

As you can see these stocks had an average of 6 hedge funds with bullish positions and the average amount invested in these stocks was $31 million. That figure was $21 million in AFH’s case. Arbutus Biopharma Corp (NASDAQ:ABUS) is the most popular stock in this table. On the other hand Gladstone Capital Corporation (NASDAQ:GLAD) is the least popular one with only 3 bullish hedge fund positions. Atlas Financial Holdings Inc (NASDAQ:AFH) 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 ABUS might be a better candidate to consider taking a long position in.

Disclosure: None