Is it a Good Choice to Dispose Your Aspen Aerogels (ASPN)?

Brick By Brick Capital, an investment management firm, published its second-quarter 2022 investor letter – a copy of which can be downloaded here. Performance through the mid-year and July 30th was -22.13% and -17.33% respectively. While the fund’s main benchmark ARKK was down -58% and -52.99% respectively also during that time frame. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, Brick By Brick Capital mentioned Aspen Aerogels, Inc. (NYSE:ASPN) and explained its insights for the company. Founded in 2001, Aspen Aerogels, Inc. (NYSE:ASPN) is a Northborough, Massachusetts-based insulation products manufacturing company with a $486.0 million market capitalization. Aspen Aerogels, Inc. (NYSE:ASPN) delivered a -75.86% return since the beginning of the year, while its 12-month returns are down by -72.81%. The stock closed at $12.02 per share on September 02, 2022.

Here is what Brick By Brick Capital has to say about Aspen Aerogels, Inc. (NYSE:ASPN) in its Q2 2022 investor letter:

“I am constantly reevaluating our positions and I am quick to change my mind if for example the thesis breaks or broader market forces change. That happened with a past position Aspen Aerogels (NYSE:ASPN). Many of you bought the stock in the low $30s to high $20s. I eventually exited everyone from the position in the mid teens for a loss of ~30%. I exited the position because the market sentiment towards high growth “story” stocks like ASPN completely soured along with their need for a capital raise was too much risk.

Roughly a month after selling the stock, ASPN fell ~40% in a day to the single digits on an announcement of an extremely dilutive capital raise. The point of the story? I remain vigilant on your portfolios and while loses are never fun, I am steering the ship clear of the Titanic size loses that can ruin a portfolio.”

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Our calculations show that Aspen Aerogels, Inc. (NYSE:ASPN) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Aspen Aerogels, Inc. (NYSE:ASPN) was in 21 hedge fund portfolios at the end of the second quarter of 2022, compared to 17 funds in the previous quarter. Aspen Aerogels, Inc. (NYSE:ASPN) delivered a -32.32% return in the past 3 months.

In June 2022, we also shared another hedge fund’s views on Aspen Aerogels, Inc. (NYSE:ASPN) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

Disclosure: None. This article is originally published at Insider Monkey.