Alger, an investment management firm, published its “Alger Small Cap Focus Fund” first quarter 2021 investor letter – a copy of which can be downloaded here. During the quarter, the largest portfolio sector weightings were Health Care and Information Technology. The largest sector overweight was Health Care. Class A shares of the Alger Small Cap Focus Fund underperformed the Russell 2000 Growth Index during the first quarter of 2021. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.
Alger Small Cap Focus Fund, in their Q1 2021 investor letter, mentioned Cryoport, Inc. (NASDAQ: CYRX) and shared their insights on the company. Cryoport, Inc. is a Brentwood, Tennessee-based cold chain logistics solutions provider that currently has a $2.3 billion market capitalization. Since the beginning of the year, CYRX delivered a 17.53% return, extending its 12-month gains to 197.06%. As of April 16, 2021, the stock closed at $51.57 per share.
Here is what Alger Small Cap Focus Fund has to say about Cryoport, Inc. in their Q1 2021 investor letter:
“Cryoport, Inc. was among the top contributors to performance during the first quarter. Cryoport provides temperature-controlled supply chain solutions to the life sciences industry. The company supports the global distribution of cellular-based materials and drug products, as well as other commodities like animal health vaccines and embryos for in vitro fertilization. These products need to be shipped at temperatures below -150°C (-238 °F). Cryoport’s sophisticated, cloud-based logistics platform supports the management of shipments through a single interface, which includes order entry, courier management and near real-time shipment monitoring. These services are an integral part of the supply chain for Cryoport’s customers. In biopharma, Cryoport’s services are embedded in the manufacturing and delivery processes of six commercially approved CAR-T-cell therapies, which involve using genetically engineered T cells to engage the body’s immune system to fight cancer. In addition to these approved therapies, Cryoport also supports approximately 45% of the over 1,000 regenerative medicine clinical trials happening around the world.
Overall, we believe demand for Cryoport’s services is hitting an inflection point, with Cryoport’s customers expected to file 23 new biologic drug submissions in 2021, up from seven in 2020. Cryoport shares have outperformed ever since the company announced the transformative acquisitions of CRYOPDP and MVE Biological Solutions.in August 2020. Both deals should be accretive to the overall company, potentially shortening the timeline for profitability, and they are also expand Cryoport’s total addressable market. The acquisitions further strengthened Cryoport as a temperature-controlled logistics provider to the cell and gene therapy market, which is expected to grow at a 30 – 40% compound annual growth rate over the coming years.”
Our calculations show that Cryoport, Inc. (NASDAQ: CYRX) does not belong in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, Cryoport, Inc. was in 21 hedge fund portfolios, compared to 19 funds in the third quarter. CYRX delivered a -19.47% return in the past 3 months.
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Disclosure: None. This article is originally published at Insider Monkey.
