How do we determine whether Concordia Healthcare Corp (NASDAQ:CXRX) makes for a good investment at the moment? We analyze the sentiment of a select group of the very best investors in the world, who spend immense amounts of time and resources studying companies. They may not always be right (no one is), but data shows that their consensus long positions have historically outperformed the market when we adjust for known risk factors.
Concordia Healthcare Corp (NASDAQ:CXRX) has seen an increase in activity from the world’s largest hedge funds lately. CXRX was in 17 hedge funds’ portfolios at the end of the third quarter of 2015. There were 13 hedge funds in our database with CXRX holdings at the end of the previous quarter. At the end of this article we will also compare CXRX to other stocks including Fidelity & Guaranty Life (NYSE:FGL), Alder Biopharmaceuticals Inc (NASDAQ:ALDR), and AMN Healthcare Services, Inc. (NYSE:AHS) to get a better sense of its popularity.
In the 21st century investor’s toolkit there are a lot of formulas stock market investors can use to assess publicly traded companies. A pair of the most useful formulas are hedge fund and insider trading activity. We have shown that, historically, those who follow the top picks of the top money managers can outclass the market by a very impressive margin (see the details here).
With all of this in mind, we’re going to take a gander at the latest action surrounding Concordia Healthcare Corp (NASDAQ:CXRX).
What does the smart money think about Concordia Healthcare Corp (NASDAQ:CXRX)?
Heading into Q4, a total of 17 of the hedge funds tracked by Insider Monkey were long this stock, a 31% jump from one quarter earlier. With hedge funds’ sentiment swirling, there exists a select group of key hedge fund managers who were boosting their holdings significantly (or had already accumulated large positions).
According to publicly available hedge fund and institutional investor holdings data compiled by Insider Monkey, Hitchwood Capital Management, managed by James Crichton, holds the most valuable position in Concordia Healthcare Corp (NASDAQ:CXRX). Hitchwood Capital Management has an $82.7 million position in the stock, comprising 2.9% of its 13F portfolio. Coming in second is Miura Global Management, led by Pasco Alfaro and Richard Tumure, holding a $58 million position; 3.2% of its 13F portfolio is allocated to the company. Other professional money managers with similar optimism consist of Glenn Russell Dubin’s Highbridge Capital Management, Steve Cohen’s Point72 Asset Management, and Mark N. Diker’s Diker Management.