The Insider Monkey team has completed processing the quarterly 13F filings for the September quarter submitted by the hedge funds and other money managers included in our extensive database. Most hedge fund investors experienced strong gains on the back of a strong market performance, which certainly propelled them to adjust their equity holdings so as to maintain the desired risk profile. As a result, the relevancy of these public filings and their content is indisputable, as they may reveal numerous high-potential stocks. The following article will discuss the smart money sentiment towards Stereotaxis Inc (NYSE:STXS).
Is Stereotaxis Inc (NYSE:STXS) a buy, sell, or hold? The best stock pickers were buying. The number of long hedge fund positions advanced by 5 in recent months. Stereotaxis Inc (NYSE:STXS) was in 26 hedge funds’ portfolios at the end of September. The all time high for this statistic was previously 21. This means the bullish number of hedge fund positions in this stock currently sits at its all time high. Our calculations also showed that STXS isn’t among the 30 most popular stocks among hedge funds (click for Q3 rankings).
At Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, lithium prices have more than doubled over the past year, so we go through lists like the 10 best EV stocks to pick the next Tesla that will deliver a 10x return. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. Now let’s take a gander at the new hedge fund action encompassing Stereotaxis Inc (NYSE:STXS).
Nathan Fischel of DAFNA Capital Management
Do Hedge Funds Think STXS Is A Good Stock To Buy Now?
At the end of September, a total of 26 of the hedge funds tracked by Insider Monkey were long this stock, a change of 24% from the second quarter of 2021. On the other hand, there were a total of 14 hedge funds with a bullish position in STXS a year ago. With the smart money’s capital changing hands, there exists an “upper tier” of key hedge fund managers who were upping their holdings significantly (or already accumulated large positions).
Among these funds, DAFNA Capital Management held the most valuable stake in Stereotaxis Inc (NYSE:STXS), which was worth $73.6 million at the end of the third quarter. On the second spot was Opaleye Management which amassed $13.6 million worth of shares. Arbiter Partners Capital Management, Iron Triangle Partners, and Redmile Group were also very fond of the stock, becoming one of the largest hedge fund holders of the company. In terms of the portfolio weights assigned to each position DAFNA Capital Management allocated the biggest weight to Stereotaxis Inc (NYSE:STXS), around 19.53% of its 13F portfolio. Opaleye Management is also relatively very bullish on the stock, setting aside 2.54 percent of its 13F equity portfolio to STXS.
With a general bullishness amongst the heavyweights, specific money managers have been driving this bullishness. Marshall Wace LLP, managed by Paul Marshall and Ian Wace, established the largest position in Stereotaxis Inc (NYSE:STXS). Marshall Wace LLP had $1 million invested in the company at the end of the quarter. Renaissance Technologies also made a $0.8 million investment in the stock during the quarter. The other funds with new positions in the stock are Brian Ashford-Russell and Tim Woolley’s Polar Capital, Greg Eisner’s Engineers Gate Manager, and Peter Muller’s PDT Partners.
Let’s check out hedge fund activity in other stocks similar to Stereotaxis Inc (NYSE:STXS). We will take a look at Landsea Homes Corporation (NASDAQ:LSEA), Akouos, Inc. (NASDAQ:AKUS), Lifetime Brands Inc (NASDAQ:LCUT), Citizens & Northern Corporation (NASDAQ:CZNC), Southern Missouri Bancorp, Inc. (NASDAQ:SMBC), SOS Limited (NYSE:SOS), and Tile Shop Holdings Inc. (NASDAQ:TTSH). This group of stocks’ market values are similar to STXS’s market value.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| LSEA | 7 | 23356 | -2 |
| AKUS | 5 | 72147 | -4 |
| LCUT | 7 | 26492 | 1 |
| CZNC | 3 | 4174 | 0 |
| SMBC | 5 | 13429 | 2 |
| SOS | 4 | 1720 | 1 |
| TTSH | 10 | 169396 | 1 |
| Average | 5.9 | 44388 | -0.1 |
View table here if you experience formatting issues.
As you can see these stocks had an average of 5.9 hedge funds with bullish positions and the average amount invested in these stocks was $44 million. That figure was $154 million in STXS’s case. Tile Shop Holdings Inc. (NASDAQ:TTSH) is the most popular stock in this table. On the other hand Citizens & Northern Corporation (NASDAQ:CZNC) is the least popular one with only 3 bullish hedge fund positions. Compared to these stocks Stereotaxis Inc (NYSE:STXS) is more popular among hedge funds. Our overall hedge fund sentiment score for STXS is 90. 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 returned 31.1% in 2021 through December 9th but still managed to beat the market by 5.1 percentage points. Hedge funds were also right about betting on STXS as the stock returned 15.6% since the end of September (through 12/9) and outperformed the market by an even larger margin. Hedge funds were clearly right about piling into this stock relative to other stocks with similar market capitalizations.
Follow Stereotaxis Inc. (NASDAQ:STXS)
Follow Stereotaxis Inc. (NASDAQ:STXS)
Suggested Articles:
- 10 Best Stocks for Beginners with Little Money
- 10 Best Grocery Stocks to Buy
- Billionaire Michael Price’s Top 10 Stock Picks
Disclosure: None. This article was originally published at Insider Monkey.
