Is Five Prime Therapeutics Inc (FPRX) A Good Stock To Buy?

Judging by the fact that Five Prime Therapeutics Inc (NASDAQ:FPRX) has experienced declining sentiment from the aggregate hedge fund industry, we can see that there is a sect of hedge funds that slashed their entire stakes by the end of the third quarter. It’s worth mentioning that Israel Englander’s Millennium Management cut the biggest investment of the 700 funds monitored by Insider Monkey, valued at an estimated $3.5 million in stock, and Daniel Gold’s QVT Financial was right behind this move, as the fund dropped about $2 million worth of shares.

Let’s now take a look at hedge fund activity in other stocks similar to Five Prime Therapeutics Inc (NASDAQ:FPRX). We will take a look at Ramco-Gershenson Properties Trust (NYSE:RPT), Dean Foods Co (NYSE:DF), Evolent Health Inc (NYSE:EVH), and Astoria Financial Corp (NYSE:AF). This group of stocks’ market values match FPRX’s market value.

As you can see these stocks had an average of 14 hedge funds with bullish positions and the average amount invested in these stocks was $106 million. That figure was $217 million in FPRX’s case. Dean Foods Co (NYSE:DF) is the most popular stock in this table. On the other hand Ramco-Gershenson Properties Trust (NYSE:RPT) is the least popular one with only 10 bullish hedge fund positions. Five Prime Therapeutics Inc (NASDAQ:FPRX) is tied as the most popular stock in this group, which is a positive signal. It also has more money invested in it than any of the other 4 stocks. In this regard FPRX might be a good candidate to consider taking a long position in.

Disclosure: None