Reputable billionaire investors such as Nelson Peltz and David Tepper generate exorbitant profits for their wealthy accredited investors (a minimum of $1 million in investable assets would be required to invest in a hedge fund and most successful hedge funds won’t accept your savings unless you commit at least $5 million) by pinpointing winning small-cap stocks. There is little or no publicly-available information at all on some of these small companies, which makes it hard for an individual investor to pin down a winner within the small-cap space. However, hedge funds and other big asset managers can do the due diligence and analysis for you instead, thanks to their highly-skilled research teams and vast resources to conduct an appropriate evaluation process. Looking for potential winners within the small-cap galaxy of stocks? We believe following the smart money is a good starting point.
Is Enzon Pharmaceuticals, Inc. (NASDAQ:ENZN) a healthy stock for your portfolio? The smart money is becoming more confident. The number of long hedge fund bets moved up by 1 in recent months. ENZN was in 7 hedge funds’ portfolios at the end of September. There were 6 hedge funds in our database with ENZN holdings at the end of the previous quarter. 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 Vical Incorporated (NASDAQ:VICL), Intersections Inc. (NASDAQ:INTX), and Christopher & Banks Corporation (NYSE:CBK) to gather more data points.
Now, let’s take a gander at the fresh action encompassing Enzon Pharmaceuticals, Inc. (NASDAQ:ENZN).
How are hedge funds trading Enzon Pharmaceuticals, Inc. (NASDAQ:ENZN)?
At Q3’s end, a total of 7 of the hedge funds tracked by Insider Monkey were long this stock, a change of 17% from the second quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists a few notable hedge fund managers who were boosting their holdings substantially (or already accumulated large positions).
When looking at the institutional investors followed by Insider Monkey, Icahn Capital LP, managed by Carl Icahn, holds the biggest position in Enzon Pharmaceuticals, Inc. (NASDAQ:ENZN). Icahn Capital LP has an $5.7 million position in the stock, comprising less than 0.1%% of its 13F portfolio. Sitting at the No. 2 spot is Jim Simons of Renaissance Technologies, with an $3.4 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Some other hedge funds and institutional investors that hold long positions include Peter Algert and Kevin Coldiron’s Algert Coldiron Investors, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital and Paul Tudor Jones’s Tudor Investment Corp.
As aggregate interest increased, key money managers were breaking ground themselves. Algert Coldiron Investors, managed by Peter Algert and Kevin Coldiron, initiated the largest position in Enzon Pharmaceuticals, Inc. (NASDAQ:ENZN). Algert Coldiron Investors had $0.1 million invested in the company at the end of the quarter. John Overdeck and David Siegel’s Two Sigma Advisors also made an investment in the stock during the quarter.