A whopping number of 13F filings filed with U.S. Securities and Exchange Commission has been processed by Insider Monkey so that individual investors can look at the overall hedge fund sentiment towards the stocks included in their watchlists. These freshly-submitted public filings disclose money managers’ equity positions as of the end of the three-month period that ended March 31st, so let’s proceed with the discussion of the hedge fund sentiment on Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX).
Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX) investors should be aware of an increase in activity from the world’s largest hedge funds in recent months. Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX) was in 4 hedge funds’ portfolios at the end of the first quarter of 2021. The all time high for this statistic is 5. Our calculations also showed that CPIX isn’t among the 30 most popular stocks among hedge funds (click for Q1 rankings).
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John Rogers of Ariel Investments
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Do Hedge Funds Think CPIX Is A Good Stock To Buy Now?
At Q1’s end, a total of 4 of the hedge funds tracked by Insider Monkey were bullish on this stock, a change of 33% from one quarter earlier. Below, you can check out the change in hedge fund sentiment towards CPIX over the last 23 quarters. With hedgies’ sentiment swirling, there exists a few noteworthy hedge fund managers who were upping their stakes substantially (or already accumulated large positions).
When looking at the institutional investors followed by Insider Monkey, Renaissance Technologies, holds the biggest position in Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX). Renaissance Technologies has a $2.3 million position in the stock, comprising less than 0.1%% of its 13F portfolio. On Renaissance Technologies’s heels is Ariel Investments, led by John W. Rogers, holding a $0.6 million position; less than 0.1%% of its 13F portfolio is allocated to the stock. Remaining peers that are bullish encompass Ken Griffin’s Citadel Investment Group, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital and . In terms of the portfolio weights assigned to each position Ariel Investments allocated the biggest weight to Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX), around 0.01% of its 13F portfolio. Renaissance Technologies is also relatively very bullish on the stock, designating 0.0028 percent of its 13F equity portfolio to CPIX.
As one would reasonably expect, specific money managers have been driving this bullishness. Citadel Investment Group, managed by Ken Griffin, created the largest position in Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX). Citadel Investment Group had $0.1 million invested in the company at the end of the quarter. Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital also made a $0 million investment in the stock during the quarter.
Let’s go over hedge fund activity in other stocks similar to Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX). These stocks are Flanigan’s Enterprises, Inc. (NYSE:BDL), PainReform Ltd. (NASDAQ:PRFX), JAKKS Pacific, Inc. (NASDAQ:JAKK), Astrotech Corporation (NASDAQ:ASTC), HV Bancorp, Inc. (NASDAQ:HVBC), Gulf Resources, Inc. (NASDAQ:GURE), and IMPAC Mortgage Holdings, Inc (NYSE:IMH). This group of stocks’ market caps match CPIX’s market cap.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| BDL | 1 | 1403 | 0 |
| PRFX | 3 | 5291 | 1 |
| JAKK | 3 | 2688 | -1 |
| ASTC | 2 | 117 | -1 |
| HVBC | 1 | 503 | -1 |
| GURE | 2 | 1715 | 1 |
| IMH | 2 | 430 | -3 |
| Average | 2 | 1735 | -0.6 |
View table here if you experience formatting issues.
As you can see these stocks had an average of 2 hedge funds with bullish positions and the average amount invested in these stocks was $2 million. That figure was $3 million in CPIX’s case. PainReform Ltd. (NASDAQ:PRFX) is the most popular stock in this table. On the other hand Flanigan’s Enterprises, Inc. (NYSE:BDL) is the least popular one with only 1 bullish hedge fund positions. Compared to these stocks Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX) is more popular among hedge funds. Our overall hedge fund sentiment score for CPIX is 80. Stocks with higher number of hedge fund positions relative to other stocks as well as relative to their historical range receive a higher sentiment score. Our calculations showed that top 5 most popular stocks among hedge funds returned 95.8% in 2019 and 2020, and outperformed the S&P 500 ETF (SPY) by 40 percentage points. These stocks gained 17.2% in 2021 through June 11th and still beat the market by 3.3 percentage points. Unfortunately CPIX wasn’t nearly as popular as these 5 stocks and hedge funds that were betting on CPIX were disappointed as the stock returned 2% since the end of the first quarter (through 6/11) and underperformed the market. If you are interested in investing in large cap stocks with huge upside potential, you should check out the top 5 most popular stocks among hedge funds as most of these stocks already outperformed the market since 2019.
Follow Cumberland Pharmaceuticals Inc (NASDAQ:CPIX)
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Disclosure: None. This article was originally published at Insider Monkey.
