Investors Of Bellatrix Exploration Ltd (BXE) Go Exploring For Other Stocks

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Because Bellatrix Exploration Ltd Ordinary Shares (Canada) (NYSEAMEX:BXE) has experienced falling interest from the aggregate hedge fund industry, we can see that there lies a certain “tier” of fund managers that decided to sell off their full holdings in the third quarter. At the top of the heap, George McCabe’s Portolan Capital Management dumped the biggest position of the 700 funds monitored by Insider Monkey, worth about $4.3 million in stock. Richard Driehaus’ fund, Driehaus Capital, also dumped its stock, about $3.4 million worth. These moves are interesting, as aggregate hedge fund interest was cut by 2 funds in the third quarter.

Let’s now take a look at hedge fund activity in other stocks similar to Bellatrix Exploration Ltd Ordinary Shares (Canada) (NYSEAMEX:BXE). We will take a look at Loxo Oncology Inc (NASDAQ:LOXO), BioDelivery Sciences International, Inc. (NASDAQ:BDSI), Seabridge Gold, Inc. (USA) (NYSE:SA), and National Research Corp (NASDAQ:NRCIA). This group of stocks’ market valuations match Bellatrix Exploration’s market valuation.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
LOXO 8 160814 -2
BDSI 22 70408 -1
SA 6 10438 -2
NRCIA 5 14496 0

As you can see these stocks had an average of 10.25 hedge funds with bullish positions and the average amount invested in these stocks was $64 million. That figure was $101 million in Bellatrix Exploration’s case. BioDelivery Sciences International, Inc. (NASDAQ:BDSI) is the most popular stock in this table. On the other hand National Research Corp (NASDAQ:NRCIA) is the least popular one with only 5 bullish hedge fund positions. Bellatrix Exploration Ltd Ordinary Shares (Canada) (NYSEAMEX:BXE) 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 BioDelivery Sciences International might be a better candidate to consider a long position in.

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