Is Vivos Therapeutics, Inc. (VVOS) A Good Stock To Buy?

Our extensive research has shown that imitating the smart money can generate significant returns for retail investors, which is why we track nearly 900 active prominent money managers and analyze their quarterly 13F filings. The stocks that are heavily bought by hedge funds historically outperformed the market, though there is no shortage of high profile failures like hedge funds’ 2018 losses in Facebook and Apple. Let’s take a closer look at what the funds we track think about Vivos Therapeutics, Inc. (NASDAQ:VVOS) in this article.

Is VVOS a good stock to buy? Vivos Therapeutics, Inc. (NASDAQ:VVOS) has seen an increase in activity from the world’s largest hedge funds lately. Vivos Therapeutics, Inc. (NASDAQ:VVOS) was in 3 hedge funds’ portfolios at the end of March. The all time high for this statistic was previously 2. This means the bullish number of hedge fund positions in this stock currently sits at its all time high. Our calculations also showed that VVOS isn’t among the 30 most popular stocks among hedge funds (click for Q1 rankings).

To most traders, hedge funds are viewed as worthless, old investment tools of years past. While there are greater than 8000 funds with their doors open today, We hone in on the moguls of this group, about 850 funds. It is estimated that this group of investors direct most of the hedge fund industry’s total capital, and by shadowing their best stock picks, Insider Monkey has spotted a few investment strategies that have historically outperformed the S&P 500 index. Insider Monkey’s flagship short hedge fund strategy outperformed the S&P 500 short ETFs by around 20 percentage points per year since its inception in March 2017. 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 .

Chuck Royce of Royce & Associates

At Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, an activist hedge fund wants to buy this $28 biotech stock for $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. Keeping this in mind let’s go over the recent hedge fund action surrounding Vivos Therapeutics, Inc. (NASDAQ:VVOS).

Do Hedge Funds Think VVOS Is A Good Stock To Buy Now?

At Q1’s end, a total of 3 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 50% from the fourth quarter of 2020. The graph below displays the number of hedge funds with bullish position in VVOS over the last 23 quarters. So, let’s find out which hedge funds were among the top holders of the stock and which hedge funds were making big moves.

The largest stake in Vivos Therapeutics, Inc. (NASDAQ:VVOS) was held by Royce & Associates, which reported holding $2.3 million worth of stock at the end of December. It was followed by Millennium Management with a $0.5 million position. The only other hedge fund that is bullish on the company was Citadel Investment Group.

With a general bullishness amongst the heavyweights, key hedge funds were breaking ground themselves. Citadel Investment Group, managed by Ken Griffin, established the largest position in Vivos Therapeutics, Inc. (NASDAQ:VVOS). Citadel Investment Group had $0.1 million invested in the company at the end of the quarter.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Vivos Therapeutics, Inc. (NASDAQ:VVOS) but similarly valued. We will take a look at Fonar Corporation (NASDAQ:FONR), Viridian Therapeutics, Inc. (NASDAQ:VRDN), Park City Group, Inc. (NASDAQ:PCYG), Limestone Bancorp, Inc. (NASDAQ:LMST), CB Financial Services, Inc. (NASDAQ:CBFV), CareCloud, Inc. (NASDAQ:MTBC), and Fang Holdings Limited (NYSE:SFUN). This group of stocks’ market valuations are similar to VVOS’s market valuation.

View table here if you experience formatting issues.

As you can see these stocks had an average of 5 hedge funds with bullish positions and the average amount invested in these stocks was $13 million. That figure was $3 million in VVOS’s case. Viridian Therapeutics, Inc. (NASDAQ:VRDN) is the most popular stock in this table. On the other hand Park City Group, Inc. (NASDAQ:PCYG) is the least popular one with only 1 bullish hedge fund positions. Vivos Therapeutics, Inc. (NASDAQ:VVOS) is not the least popular stock in this group but hedge fund interest is still below average. Our overall hedge fund sentiment score for VVOS is 42.7. 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. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. 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 17.2% in 2021 through June 11th and surpassed the market again by 3.3 percentage points. Unfortunately VVOS wasn’t nearly as popular as these 5 stocks (hedge fund sentiment was quite bearish); VVOS investors were disappointed as the stock returned -10.4% since the end of March (through 6/11) and underperformed the market. If you are interested in investing in large cap stocks with huge upside potential, you should check out the top 5 most popular stocks among hedge funds as most of these stocks already outperformed the market in 2021.

Disclosure: None. This article was originally published at Insider Monkey.