Are Hedge Funds On To Something With Ascendis Pharma A/S (ASND) Bullishness?

As one would reasonably expect, key hedge funds have been driving this bullishness. EcoR1 Capital initiated the most valuable position in Ascendis Pharma A/S (NASDAQ:ASND). EcoR1 Capital had $4.4 million invested in the company at the end of the quarter. Ori Hershkovitz’s Nexthera Capital also initiated a $2.9 million position during the quarter. The other funds with new positions in the stock are Millennium Management, one of the 10 largest hedge funds in the world, and Behzad Aghazadeh’s venBio Select Advisor.

Let’s now review hedge fund activity in other stocks similar to Ascendis Pharma A/S (NASDAQ:ASND). We will take a look at Overstock.com, Inc. (NASDAQ:OSTK), Myers Industries, Inc. (NYSE:MYE), Axcelis Technologies Inc (NASDAQ:ACLS), and Fly Leasing Ltd(ADR) (NYSE:FLY). This group of stocks’ market valuations match ASND’s market valuation.

As you can see these stocks had an average of 10 hedge funds with bullish positions and the average amount invested in these stocks was $63 million. That figure was $155 million in ASND’s case. Overstock.com, Inc. (NASDAQ:OSTK) is the most popular stock in this table. On the other hand Fly Leasing Ltd(ADR) (NYSE:FLY) is the least popular one with only 8 bullish hedge fund positions. Ascendis Pharma A/S (NASDAQ:ASND) is tied as being the most popular stock in this group. This is a positive signal, as we’d rather spend our time researching stocks that hedge funds are overweight. In this regard ASND might be a good candidate to consider taking a long position in.

Disclosure: None