Cedar Creek Partners LLC, an investment management firm, published its fourth-quarter 2021 investor letter – a copy of which can be downloaded here. The fund recorded a quarterly portfolio return of 6.4% for the fourth quarter of 2021, outperforming the NASDAQ Index, which delivered an 8.3% return for the same period. The fund also outperformed the S&P 500 (SPY) Index’s 11.1% return but outperformed the Russell Micro Cap’s -2.7% return. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.
Cedar Creek Partners, in its Q4 2021 investor letter, mentioned Nocopi Technologies, Inc (NYSE: NNUP) and discussed its stance on the firm. Founded in 1983, Nocopi Technologies, Inc is a West Conshohocken, Pennsylvania-based marketing technology company with a $12.4 million market capitalization, and is currently spearheaded by its CEO, Michael A. Feinstein. NNUP delivered an 18.65% return since the beginning of the year, while its 12-month returns are up by 11.51%. The stock closed at $0.18 per share on March 10, 2022.
Here is what Cedar Creek Partners has to say about Nocopi Technologies, Inc in its Q4 2021 investor letter:
“Nocopi Technologies (NNUP) was profiled in our 2021 second and third quarter letters. The fund owns 9% of Nocopi. The bid priced declined from $0.19 to $0.15 per share in the quarter. Nocopi markets specialty reactive inks in the educational and toy markets. Their Rub-it & Color technology can be used for coloring books, activity kits, play sheets, greeting cards, or any paper-based application. Nocopi is a very small company. It has four fulltime and two part-time employees. In other words, it is almost a royalty company, although they do mix and sell their specialty ink. Currently there are just over 67 million shares outstanding at a price of $0.15 per share, resulting in a market cap of $10 million. The company has no debt and cash of just over $2.1 million as of September 30, 2021. Earnings are better than they appear due to revenue recognition rules. When they signed a four year contract, they booked all the guaranteed revenue in the quarter the deal was signed even though most of it would be paid over the life of the contract. The result is quarterly earnings are about $100,000 more than what is reported. Normalized pre-covid annual cash flow was roughly $1 million and growing. The number decreased during COVID and may have also been negatively impacted by supply chain issues. We think the number could be improved…” (Click here to see the full text)
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Our calculations show that Nocopi Technologies, Inc (NYSE: NNUP) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. Nocopi Technologies, Inc (NYSE: NNUP) delivered a 28.32% return in the past 3 months.
In February 2022, we also shared another hedge fund’s views on NNUP in another article. You can find other letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.
Disclosure: None. This article is originally published at Insider Monkey.
