Why Do Hedge Funds Like Five Prime Therapeutics?

Of the around 750 funds that Insider Monkey tracks, 22 funds owned shares of Five Prime Therapeutics Inc (NASDAQ:FPRX) at the end of the second quarter, down by three funds from the previous quarter. These investors amassed $178.95 million worth of Five Prime Therapeutics Inc (NASDAQ:FPRX)’s stock at the end of June, compared to 25 funds that held $256.43 million worth of shares at the end of March.

In terms of meaningful individual smart money activity, Phill Gross and Robert Atchinson‘s Adage Capital Management trimmed its stake by 9% on the quarter to 2.37 million shares, worth around $78 million at the end of June, while James E. Flynn‘s Deerfield Management cut its holding by 35% to 448,000 shares. Of the top five shareholders in our database, the top three reduced their exposure to the stock, while the other two increased their positions.

Although hedge fund activity in Five Prime Therapeutics was restrained in the second quarter, the fundamental prospects of the stock haven’t changed and Five Prime remains a biotech with great potential.

Disclosure: None