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 have processed the filings of the more than 866 world-class investment firms that we track and now have access to the collective wisdom contained in these filings, which are based on their March 31st holdings, data that is available nowhere else. Should you consider Citius Pharmaceuticals, Inc. (NASDAQ:CTXR) for your portfolio? We’ll look to this invaluable collective wisdom for the answer.
Citius Pharmaceuticals, Inc. (NASDAQ:CTXR) was in 5 hedge funds’ portfolios at the end of March. The all time high for this statistic was 3. This means the bullish number of hedge fund positions in this stock currently sits at its all time high. CTXR has seen an increase in hedge fund sentiment of late. There were 3 hedge funds in our database with CTXR positions at the end of the fourth quarter. Our calculations also showed that CTXR isn’t among the 30 most popular stocks among hedge funds (click for Q1 rankings).
In the 21st century investor’s toolkit there are plenty of indicators stock market investors employ to appraise stocks. Two of the less known indicators are hedge fund and insider trading interest. We have shown that, historically, those who follow the top picks of the top hedge fund managers can outclass the S&P 500 by a solid amount (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 .
Israel Englander of Millennium Management
At Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, an activist hedge fund owns nearly 40% of this $23 biotech stock and is trying to buy the rest for around $50. So, we recommended a long position to our monthly premium newsletter subscribers. We go through lists like the 10 best battery 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 glance at the recent hedge fund action encompassing Citius Pharmaceuticals, Inc. (NASDAQ:CTXR).
Do Hedge Funds Think CTXR Is A Good Stock To Buy Now?
Heading into the second quarter of 2021, a total of 5 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 67% from one quarter earlier. Below, you can check out the change in hedge fund sentiment towards CTXR over the last 23 quarters. So, let’s check out which hedge funds were among the top holders of the stock and which hedge funds were making big moves.
Among these funds, Renaissance Technologies held the most valuable stake in Citius Pharmaceuticals, Inc. (NASDAQ:CTXR), which was worth $1.8 million at the end of the fourth quarter. On the second spot was Sabby Capital which amassed $0.6 million worth of shares. Millennium Management, LMR Partners, and Citadel Investment 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 Sabby Capital allocated the biggest weight to Citius Pharmaceuticals, Inc. (NASDAQ:CTXR), around 0.11% of its 13F portfolio. LMR Partners is also relatively very bullish on the stock, dishing out 0.0028 percent of its 13F equity portfolio to CTXR.
Now, key hedge funds were breaking ground themselves. Sabby Capital, managed by Hal Mintz, established the biggest position in Citius Pharmaceuticals, Inc. (NASDAQ:CTXR). Sabby Capital had $0.6 million invested in the company at the end of the quarter. Ben Levine, Andrew Manuel and Stefan Renold’s LMR Partners also initiated a $0.1 million position during the quarter.
Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Citius Pharmaceuticals, Inc. (NASDAQ:CTXR) but similarly valued. These stocks are Calyxt, Inc. (NASDAQ:CLXT), CompX International Inc. (NYSE:CIX), LCNB Corp. (NASDAQ:LCNB), Maui Land & Pineapple Co. (NYSE:MLP), Alico, Inc. (NASDAQ:ALCO), Applied Optoelectronics Inc (NASDAQ:AAOI), and Lakeland Industries, Inc. (NASDAQ:LAKE). All of these stocks’ market caps match CTXR’s market cap.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| CLXT | 5 | 1191 | 1 |
| CIX | 4 | 11901 | 0 |
| LCNB | 1 | 3072 | -2 |
| MLP | 1 | 2032 | -2 |
| ALCO | 6 | 10775 | -1 |
| AAOI | 7 | 8856 | -2 |
| LAKE | 10 | 28721 | -2 |
| Average | 4.9 | 9507 | -1.1 |
View table here if you experience formatting issues.
As you can see these stocks had an average of 4.9 hedge funds with bullish positions and the average amount invested in these stocks was $10 million. That figure was $3 million in CTXR’s case. Lakeland Industries, Inc. (NASDAQ:LAKE) is the most popular stock in this table. On the other hand LCNB Corp. (NASDAQ:LCNB) is the least popular one with only 1 bullish hedge fund positions. Citius Pharmaceuticals, Inc. (NASDAQ:CTXR) is not the most popular stock in this group but hedge fund interest is still above average. Our overall hedge fund sentiment score for CTXR is 59.2. 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 17.4% in 2021 through June 18th and still beat the market by 6.1 percentage points. Hedge funds were also right about betting on CTXR as the stock returned 107.3% since the end of Q1 (through 6/18) and outperformed the market. Hedge funds were rewarded for their relative bullishness.
Follow Citius Pharmaceuticals Inc.
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Disclosure: None. This article was originally published at Insider Monkey.
