Consequently, key hedge funds have jumped into Sorrentto Therapeutics Inc (NASDAQ:SRNE) headfirst. Sabby Capital created the most outsized call position in Sorrentto Therapeutics Inc (NASDAQ:SRNE). Sabby Capital had $1.9 million invested in the company at the end of the quarter. The other funds with new positions in the stock are Cliff Asness’ AQR Capital Management, D E Shaw, and Matthew Tewksbury’s Stevens Capital Management.
Let’s also examine hedge fund activity in other stocks similar to Sorrentto Therapeutics Inc (NASDAQ:SRNE). These stocks are Amyris Inc (NASDAQ:AMRS), Telenav Inc (NASDAQ:TNAV), PDF Solutions, Inc. (NASDAQ:PDFS), and Immersion Corporation (NASDAQ:IMMR). This group of stocks’ market values are similar to Sorrentto Therapeutics Inc (NASDAQ:SRNE)’s market value.
Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
---|---|---|---|
AMRS | 4 | 4374 | -1 |
TNAV | 16 | 66295 | -4 |
PDFS | 19 | 56317 | 5 |
IMMR | 21 | 131935 | -1 |
As you can see, these stocks had an average of 15 hedge funds with bullish positions and the average amount invested in these stocks was $65 million. That figure was $59 million in Sorrentto Therapeutics Inc (NASDAQ:SRNE)’s case. Immersion Corporation (NASDAQ:IMMR) is the most popular stock in this table. On the other hand, Amyris Inc (NASDAQ:AMRS) is the least popular one with only 4 bullish hedge fund positions. Sorrentto Therapeutics Inc (NASDAQ:SRNE) 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, Immersion Corporation (NASDAQ:IMMR) might be a better candidate to consider a long position.