Wasatch Advisors, an employee-owned investment manager, published its ‘Wasatch Micro Cap Value Fund’ third-quarter 2020 Investor Letter – a copy of which can be downloaded here. A return of 11.62% was recorded by the fund for the Q3 of 2020, above its Russel Microcap benchmark that returned 3.69%. You can view the fund’s top 10 holdings to have a peek at their top bets for 2021.
Wasatch Advisors, in their Q3 2020 Investor Letter said that their acquisition of OptimizeRx Corporation (NASDAQ: OPRX) was paid positively with a decent sum of return. OptimizeRx Corporation is a digital communication channel company for life sciences, that currently has a $633 million market cap. For the past 3 months, OPRX delivered a huge 99.53% return and settled at $39.54 per share at the closing of January 15th.
Here is what Wasatch Advisors has to say about OptimizeRx Corporation in their Investor Letter:
“Fund holding OptimizeRX Corp. (OPRX) was up during the quarter too. The company provides digital-marketing services for pharmaceutical and other health-care-related businesses. In 2019, the company’s stock price fell based on a decline in revenue, which was partly due to the delayed digital-advertising spending of two large pharmaceutical-business clients that merged. Back then, we continued to like OptimizeRX because we were impressed with the company’s cost-effective program to engage patients, enhance their health-care experiences and improve outcomes. Our willingness to stay the course has now been rewarded with a large gain in the stock based on the revenue and earnings growth we had correctly
anticipated in 2019. OptimizeRX is currently under review due to our concern that the valuation may have gotten a bit ahead of fundamentals.”
Last December 2020, we published an article telling that OptimizeRx Corporation (NASDAQ: OPRX) was in 4 hedge fund portfolios. Its all time high statistics is 10. OPRX delivered a massive 283.23% return in the past 12 months.
As of September 2020, Wasatch Advisors had a 450K share position in OPRX that amounted to $9.3 million. However, our calculations showed that OptimizeRx Corporation (NASDAQ: OPRX) does not belong to the 30 most popular stocks among hedge funds.
The top 10 stocks among hedge funds returned 216% since the end of 2014 and outperformed the S&P 500 Index ETFs by more than 121 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Below you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
Video: Top 5 Stocks Among Hedge Funds
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Disclosure: None. This article is originally published at Insider Monkey.