Many investors, including Carl Icahn or Stan Druckenmiller, have been saying for a while now that the current market is overvalued due to a low interest rate environment that leads to companies swapping their equity for debt and focusing mostly on short-term performance such as beating the quarterly earnings estimates. In the third quarter, many investors lost money due to unpredictable events such as the concerns over Valeant’s drug pricing policy that led to an overall drop among pharma stocks. Nevertheless, many of the stocks that tanked in the third quarter still sport strong fundamentals and their decline was more related to the general market sentiment rather than their individual performance and hedge funds kept their bullish stance. In this article we will find out how hedge fund sentiment to Actua Corp (NASDAQ:ACTA) changed recently.
Actua Corp (NASDAQ:ACTA) shares haven’t seen a lot of action during the third quarter. Overall, hedge fund sentiment was unchanged. The stock was in an 8 hedge funds’ portfolios at the end of the third quarter of 2015. The level and the change in hedge fund popularity aren’t the only variables you need to analyze to decipher hedge funds’ perspectives. A stock may witness a boost in popularity but it may still be less popular than similarly priced stocks. That’s why at the end of this article we will examine companies such as Intralinks Holdings Inc (NYSE:IL), Vera Bradley, Inc. (NASDAQ:VRA), and Fidelity Southern Corporation (NASDAQ:LION) to gather more data points.
Keeping this in mind, let’s view the fresh action encompassing Actua Corp (NASDAQ:ACTA).
How are hedge funds trading Actua Corp (NASDAQ:ACTA)?
Of the funds tracked by Insider Monkey, Jim Simons’s Renaissance Technologies has the most valuable position in Actua Corp (NASDAQ:ACTA), worth close to $2 million, comprising less than 0.1% of its total 13F portfolio. The second most bullish fund is D E Shaw, with a $1.7 million position; less than 0.1% of its 13F portfolio is allocated to the stock. Remaining professional money managers that are bullish encompass Jim Tarantino and Chris Galvin’s Westerly Capital Management, Ken Griffin’s Citadel Investment Group and Israel Englander’s Millennium Management.