Five Under-the-Radar Stocks That Trellus Management Likes Long-Term

#3 Vertex Energy Inc. (NASDAQ:VTNR)

Shares Owned by Trellus Management (as of September 30): 821,391 shares

Value of Holding (as of September 30): $1.76 million

Adam Usdan’s investment firm did not change its holdings in Vertex Energy Inc. (NASDAQ:VTNR) during the September quarter, continuing to hold 821,391 shares. The position accounted for 2.58% of the firm’s entire portfolio on September 30. The shares of Vertex Energy are 43% in the red year-to-date and the only news accompanying the company of late has been its quarterly earnings reports. The environmental services company that recycles industrial waste streams and off-specification commercial chemical products is set to release its third quarter earnings report on November 9 after the market close, so market participants will get the chance to assess the potential of the company. Philip Hempleman’s Ardsley Partners acquired a 968,000-share stake in Vertex Energy Inc. (NASDAQ:VTNR) during the June quarter.

#2 American Water Works Company Inc. (NYSE:AWK)

Shares Owned by Trellus Management (as of September 30): 51,600 shares

Value of Holding (as of September 30): $2.84 million

American Water Works Company Inc. (NYSE:AWK) was the second-largest equity holding of Trellus Management at the end of the third quarter, representing 4.17% of the firm’s portfolio. It is worth pointing out that this position did not suffer any adjustments during the three-month period that ended September 30. On Friday, the provider of water and wastewater services announced a quarterly cash dividend of $0.34 per share, which provides a current dividend yield of 2.38%. In the meantime, the stock is currently trading at relatively the same level it was trading at on January 1; however, its trailing P/E ratio of 22.76 does not necessarily suggest that this stock represents a good buying opportunity. Ian Simm’s Impax Asset Management reported ownership of 1.49 million shares in American Water Works Company Inc. (NYSE:AWK) through its 13F filing for the second quarter.

#1 FireEye Inc. (NASDAQ:FEYE)

Shares Owned by Trellus Management (as of September 30): 274,788 shares

Value of Holding (as of September 30): $8.74 million

FireEye Inc. (NASDAQ:FEYE) was by far the largest equity position of Trellus Management at the end of the latest quarter, as it accounts for 12.83% of its portfolio value. However, Adam Usdan’s firm reduced its holding in the provider of cybersecurity solutions by 9,000 shares during the three-month period. The stock has embarked on a sharp downtrend since mid-June and is currently 17% in the red year-to-date. Even so, the company’s business has not weakened at all over the past few months, as cybersecurity worries continue to be prevalent. Just recently, FireEye and Visa Inc. (NYSE:V) announced the launch of Visa Threat Intelligence, which is set to protect the credit card company against critical cyber-attacks that could penetrate its payment systems. Karthik Sarma’s SRS Investment Management owned a 3.3 million-share stake in FireEye Inc. (NASDAQ:FEYE) as of June 30.

Disclosure: None