The latest 13F reporting period has come and gone, and Insider Monkey is again at the forefront when it comes to making use of this gold mine of data. We at Insider Monkey have plowed through 866 13F filings that hedge funds and well-known value investors are required to file by the SEC. The 13F filings show the funds’ and investors’ portfolio positions as of March 31st. In this article we look at what those investors think of Cameco Corporation (NYSE:CCJ).
Cameco Corporation (NYSE:CCJ) has experienced an increase in support from the world’s most elite money managers of late. Cameco Corporation (NYSE:CCJ) was in 30 hedge funds’ portfolios at the end of March. The all time high for this statistic was previously 28. This means the bullish number of hedge fund positions in this stock currently sits at its all time high. Our calculations also showed that CCJ isn’t among the 30 most popular stocks among hedge funds (click for Q1 rankings).
Today there are tons of signals market participants use to evaluate stocks. Two of the most useful signals are hedge fund and insider trading indicators. Our experts have shown that, historically, those who follow the best picks of the elite fund managers can trounce their index-focused peers by a solid margin (see the details here). Also, our monthly newsletter’s portfolio of long stock picks returned 206.8% since March 2017 (through May 2021) and beat the S&P 500 Index by more than 115 percentage points. You can download a sample issue of this newsletter on our website .
Louis Bacon Moore of Moore Capital
At Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, lithium mining is one of the fastest growing industries right now, so we are checking out stock pitches like this emerging lithium stock. 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. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. You can subscribe to our free daily newsletter on our homepage. Now we’re going to take a look at the fresh hedge fund action surrounding Cameco Corporation (NYSE:CCJ).
Do Hedge Funds Think CCJ Is A Good Stock To Buy Now?
At Q1’s end, a total of 30 of the hedge funds tracked by Insider Monkey were long this stock, a change of 20% from one quarter earlier. By comparison, 24 hedge funds held shares or bullish call options in CCJ a year ago. With the smart money’s capital changing hands, there exists a select group of key hedge fund managers who were upping their holdings considerably (or already accumulated large positions).
When looking at the institutional investors followed by Insider Monkey, David Iben’s Kopernik Global Investors has the most valuable position in Cameco Corporation (NYSE:CCJ), worth close to $163 million, corresponding to 18.3% of its total 13F portfolio. The second most bullish fund manager is MFN Partners, led by Farhad Nanji and Michael DeMichele, holding a $100.5 million position; 7.5% of its 13F portfolio is allocated to the stock. Some other professional money managers with similar optimism encompass Louis Bacon’s Moore Global Investments, Phill Gross and Robert Atchinson’s Adage Capital Management and Ken Griffin’s Citadel Investment Group. In terms of the portfolio weights assigned to each position Kopernik Global Investors allocated the biggest weight to Cameco Corporation (NYSE:CCJ), around 18.35% of its 13F portfolio. Moerus Capital Management is also relatively very bullish on the stock, setting aside 9.42 percent of its 13F equity portfolio to CCJ.
As one would reasonably expect, key money managers have jumped into Cameco Corporation (NYSE:CCJ) headfirst. MFN Partners, managed by Farhad Nanji and Michael DeMichele, created the most outsized position in Cameco Corporation (NYSE:CCJ). MFN Partners had $100.5 million invested in the company at the end of the quarter. Louis Bacon’s Moore Global Investments also made a $46.1 million investment in the stock during the quarter. The other funds with new positions in the stock are Mike Masters’s Masters Capital Management, Richard Driehaus’s Driehaus Capital, and Dmitry Balyasny’s Balyasny Asset Management.
Let’s also examine hedge fund activity in other stocks similar to Cameco Corporation (NYSE:CCJ). These stocks are CDK Global Inc (NASDAQ:CDK), Skechers USA Inc (NYSE:SKX), Plains All American Pipeline, L.P. (NYSE:PAA), Vir Biotechnology, Inc. (NASDAQ:VIR), SLM Corp (NASDAQ:SLM), Envista Holdings Corporation (NYSE:NVST), and Woori Financial Group Inc. (NYSE:WF). This group of stocks’ market valuations match CCJ’s market valuation.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| CDK | 18 | 298124 | -9 |
| SKX | 29 | 531729 | -2 |
| PAA | 7 | 57037 | -3 |
| VIR | 9 | 17685 | 4 |
| SLM | 27 | 996426 | 8 |
| NVST | 34 | 889306 | 1 |
| WF | 2 | 3273 | 1 |
| Average | 18 | 399083 | 0 |
View table here if you experience formatting issues.
As you can see these stocks had an average of 18 hedge funds with bullish positions and the average amount invested in these stocks was $399 million. That figure was $493 million in CCJ’s case. Envista Holdings Corporation (NYSE:NVST) is the most popular stock in this table. On the other hand Woori Financial Group Inc. (NYSE:WF) is the least popular one with only 2 bullish hedge fund positions. Cameco Corporation (NYSE:CCJ) is not the most popular stock in this group but hedge fund interest is still above average. Our overall hedge fund sentiment score for CCJ is 83.8. 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 22.8% in 2021 through July 2nd and still beat the market by 6 percentage points. Hedge funds were also right about betting on CCJ, though not to the same extent, as the stock returned 15.3% since Q1 (through July 2nd) and outperformed the market as well.
Follow Cameco Corp (NYSE:CCJ)
Follow Cameco Corp (NYSE:CCJ)
Suggested Articles:
- How to Best Use Insider Monkey To Increase Your Returns
- 15 Largest Gas Companies In The US
- 15 Biggest Oil Refining Companies
Disclosure: None. This article was originally published at Insider Monkey.
