How Has Smart Money Been Trading Kandi Technolgies Corp. (KNDI)?

Of the funds tracked by Insider Monkey, Ken Griffin’s Citadel Investment Group has the number one ‘Call’ position in Kandi Technolgies Corp. (NASDAQ:KNDI), worth close to $0.5 million, comprising less than 0.1%% of its total 13F portfolio. On Citadel Investment Group’s heels is Millennium Management, managed by Israel Englander, which holds a $0.2 million position; less than 0.1%% of its 13F portfolio is allocated to the company. Remaining hedge funds and institutional investors that hold long positions comprise Ben Levine, Andrew Manuel and Stefan Renold’s LMR Partners, D. E. Shaw’s D E Shaw and Ken Griffin’s Citadel Investment Group.

At the same time, there was a specific group of funds who were dropping their full holdings in KNDI by the end of the third quarter. At the top of the heap, John Fichthorn’s Dialectic Capital Management dumped the biggest investment of the 700 funds watched by Insider Monkey, valued at close to $0.5 million in stock, and Peter Muller’s PDT Partners was right behind this move, as the fund cut about $0.2 million worth of shares.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as Kandi Technolgies Corp. (NASDAQ:KNDI) but similarly valued. We will take a look at Natural Gas Services Group, Inc. (NYSE:NGS), Immune Desing Corp (NASDAQ:IMDZ), Exactech, Inc. (NASDAQ:EXAC), and Life Technologies Corp. (NASDAQ:LIFE). This group of stocks’ market values resemble KNDI’s market value.

As you can see these stocks had an average of 9 hedge funds with long positions and the average amount invested in these stocks was $31 million, significantly above the $1 million figure in KNDI’s case. Exactech, Inc. (NASDAQ:EXAC) is the most popular stock in this table. On the other hand, Immune Desing Corp (NASDAQ:IMDZ) is the least popular one with only 6 bullish hedge fund positions. Compared to these stocks Kandi Technolgies Corp. (NASDAQ:KNDI) is even less popular than IMDZ. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.