We at Insider Monkey have gone over 700 13F filings that hedge funds and prominent investors are required to file by the government. The 13F filings show the funds’ and investors’ portfolio positions as of September 30. In this article we look at what those investors think of Bridge Bancorp, Inc. (NASDAQ:BDGE).
Bridge Bancorp, Inc. (NASDAQ:BDGE) has seen an increase in enthusiasm from smart money recently. BDGE was in 8 hedge funds’ portfolios at the end of September. There were 7 hedge funds in our database with BDGE holdings at the end of the previous quarter. At the end of this article we will also compare BDGE to other stocks, including Triple-S Management Corp.(NYSE:GTS), Arena Pharmaceuticals, Inc. (NASDAQ:ARNA), and Incontact Inc (NASDAQ:SAAS) to get a better sense of its popularity.
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To most shareholders, hedge funds are seen as unimportant, outdated financial tools of years past. While there are greater than 8000 funds with their doors open at present, We look at the aristocrats of this group, approximately 700 funds. These hedge fund managers handle the majority of the smart money’s total asset base, and by keeping track of their first-class investments, Insider Monkey has identified various investment strategies that have historically beaten the S&P 500 index. Insider Monkey’s small-cap hedge fund strategy outstripped the S&P 500 index by 12 percentage points a year for a decade in their back tests.
Now, we’re going to analyze the recent action regarding Bridge Bancorp, Inc. (NASDAQ:BDGE).
How have hedgies been trading Bridge Bancorp, Inc. (NASDAQ:BDGE)?
Heading into Q4, a total of 8 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 14% from the previous quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists a select group of key hedge fund managers who were increasing their holdings considerably (or already accumulated large positions).
Of the funds tracked by Insider Monkey, Matthew Lindenbaum’s Basswood Capital has the number one position in Bridge Bancorp, Inc. (NASDAQ:BDGE), worth close to $47.4 million, comprising 2.3% of its total 13F portfolio. On Basswood Capital’s heels is Ulysses Management, led by Joshua Nash, holding a $13.9 million position; the fund has 1.5% of its 13F portfolio invested in the stock. Remaining members of the smart money with similar optimism comprise Paul Magidson, Jonathan Cohen and Ostrom Enders’ Castine Capital Management, Jim Simons’ Renaissance Technologies and William Black’s Consector Capital.
Now, specific money managers were breaking ground themselves. Consector Capital, managed by William Black, initiated the biggest position in Bridge Bancorp, Inc. (NASDAQ:BDGE). Consector Capital had $1.8 million invested in the company at the end of the quarter. Israel Englander’s Millennium Management also made a $0.2 million investment in the stock during the quarter.
Let’s check out hedge fund activity in other stocks similar to Bridge Bancorp, Inc. (NASDAQ:BDGE). We will take a look at Triple-S Management Corp.(NYSE:GTS), Arena Pharmaceuticals, Inc. (NASDAQ:ARNA), Incontact Inc (NASDAQ:SAAS), and Stock Building Supply Holdings Inc (NASDAQ:STCK). This group of stocks’ market values match BDGE’s market value.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| GTS | 21 | 76668 | 6 |
| ARNA | 12 | 36184 | -1 |
| SAAS | 12 | 59952 | -8 |
| STCK | 11 | 87235 | 1 |
As you can see these stocks had an average of 14 hedge funds with bullish positions and the average amount invested in these stocks was $65 million. That figure was $70 million in BDGE’s case. Triple-S Management Corp.(NYSE:GTS) is the most popular stock in this table. On the other hand Stock Building Supply Holdings Inc (NASDAQ:STCK) is the least popular one with only 11 bullish hedge fund positions. Compared to these stocks Bridge Bancorp, Inc. (NASDAQ:BDGE) is even less popular than STCK. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.