The last time we reported on Healthcor, they initiated an activist position in CareView Communications. Last week Healthcor disclosed a 5.86% stake in Celldex (CLDX) in a 13G filing. They paid around $3.30 per share on May 18th when the stock closed at $3.31. The stock currently trades at $3.70, giving Healthcor a 10+% return in less than two weeks.
HealthCor Management is a $3 billion healthcare hedge fund founded by Arthur Cohen and Joseph Healey. Cohen graduated from the University of Virginia in 1983 with a B.A. degree in Commerce and received his M.B.A. in Banking and Finance from Hofstra University in 1986. He worked for Julian Robertson between 1995 and 2000. He was responsible for healthcare investments as a Managing Director at Tiger Management. He partnered with Joseph P. Healey in September 2005. The duo worked at Steven Cohen’s SAC until 2005.
Healey is a brilliant stock picker (See Joseph Healey’s stock recommendations at the 2009 Ira Sohn Conference). HealthCor returned 4% in 2008, vs. -19% for an average hedge fund. Cohen and Healey invest significant amounts in the healthcare industry by diversifying their portfolio in different stocks. Nearly two thirds of his investments are in the healthcare sector.
Celldex is a microcap stock and there aren’t a lot of hedge funds invested in this stock. D.E. Shaw had more than 1% of CLDX’s outstanding shares.