This article presents an overview of the 5 Cash-Rich Penny Stocks Hedge Funds Are Buying. For a detailed overview of such stocks, read our article, 15 Cash-Rich Penny Stocks Hedge Funds Are Buying.
5. Citizens Inc. (NYSE:CIA)
Number of Hedge Fund Investors: 5
Free Cash Flow (TTM): $46M
Life insurance products company Citizens Inc. (NYSE:CIA) ranks fifth in our list of the best cash-rich penny stocks to buy according to hedge funds. In November Citizens Inc. (NYSE:CIA) posted third quarter results.
GAAP EPS in the quarter came in at $0.05. Revenue in the quarter jumped 5.7% year over year to $59.39 million, beating estimates by $2.47 million.
4. Silvercorp Metals Inc (NYSE:SVM)
Number of Hedge Fund Investors: 10
Free Cash Flow (TTM): $ 33M
Canadian-based Silvercorp Metals Inc (NYSE:SVM) last month announced an off-market takeover offer to acquire all OreCorp Shares it does not already own for A$0.19 cash plus 0.0967 Silvercorp shares per OreCorp Share.
Silvercorp Metals Inc (NYSE:SVM) said the offer is subject to 50.1% minimum acceptance condition.
As of the end of the third quarter of 2023, 10 hedge funds tracked by Insider Monkey had stakes in Silvercorp Metals Inc (NYSE:SVM).
3. Playstudios Inc (NASDAQ:MYPS)
Number of Hedge Fund Investors: 14
Free Cash Flow (TTM): $3M
Las Vegas-based Playstudios Inc (NASDAQ:MYPS) ranks third in our list of the best cash-rich penny stocks to buy according to smart money investors. In November Playstudios Inc (NASDAQ:MYPS) posted Q3 results. Revenue jumped 5.3% year over year to $75.9 million.
As of the end of the third quarter of 2023, 14 hedge funds in the database of Insider Monkey held stakes in Playstudios Inc (NASDAQ:MYPS).
2. Ambev SA (NYSE:ABEV)
Number of Hedge Fund Investors: 14
Free Cash Flow (TTM): $16M
Beverage company Ambev SA (NYSE:ABEV) ranks second in our list of the best cash-rich penny stocks to buy according to hedge funds. In July, BofA upgraded ABEV stock to Buy from Neutral and set a price target of about $3.50.
As of the end of the third quarter of 2023, 14 hedge funds out of the 910 funds in Insider Monkey’s database had stakes in Ambev SA (NYSE:ABEV).
1. Vanda Pharmaceuticals Inc (NASDAQ:VNDA)
Number of Hedge Fund Investors: 22
Free Cash Flow (TTM): $25M
Vanda Pharmaceuticals Inc (NASDAQ:VNDA) tops our list of cash-rich penny stocks in terms of hedge fund sentiment. Over the past 12 months Vanda Pharmaceuticals Inc’s (NASDAQ:VNDA) FCF stands at over $25 million.
As of the end of the third quarter of 2023, 22 hedge funds had stakes in Vanda Pharmaceuticals Inc (NASDAQ:VNDA). The biggest stakeholder of Vanda Pharmaceuticals Inc (NASDAQ:VNDA) during this period was Israel Englander’s Millennium Management which owns an $8.7 million stake in Vanda Pharmaceuticals Inc (NASDAQ:VNDA).
Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below. You can also look at the 13 Best Get Rich Quick Stocks To Buy and the 13 Cash-Rich Small Cap Stocks To Invest In.
