Achillion Pharmaceuticals, Inc. (NASDAQ:ACHN) has experienced a decrease in activity from the world’s largest hedge funds in recent months. Achillion was in 23 hedge funds’ portfolios at the end of March, compared to 24 hedge funds in our database with ACHN positions at the end of the previous quarter. The level and the change in hedge fund popularity aren’t the only variables you need to analyze to decipher hedge funds’ perspectives. A stock may witness a boost in popularity, but it may still be less popular than similarly priced stocks. That’s why at the end of this article we will examine companies such as Aerojet Rocketdyne Holdings Inc (NYSE:AJRD), TASER International, Inc. (NASDAQ:TASR), and Hecla Mining Company (NYSE:HL) to gather more data points.
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At Q1’s end, a total of 23 of the hedge funds tracked by Insider Monkey were long this stock, a change of -4% from one quarter earlier. With hedgies’ positions undergoing their usual ebb and flow, there exists an “upper tier” of noteworthy hedge fund managers who were upping their stakes significantly (or already accumulated large positions).
According to Insider Monkey’s hedge fund database, RA Capital Management, managed by Peter Kolchinsky, holds the biggest position in Achillion Pharmaceuticals, Inc. (NASDAQ:ACHN). RA Capital Management has a $92.9 million position in the stock, comprising 11.9% of its 13F portfolio. The second largest stake is held by OrbiMed Advisors, managed by Samuel Isaly, which holds a $88.9 million position; the fund has 0.9% of its 13F portfolio invested in the stock. Remaining peers that are bullish comprise Steve Cohen’s Point72 Asset Management, Israel Englander’s Millennium Management and Julian Baker and Felix Baker’s Baker Bros. Advisors.
Judging by the fact that Achillion Pharmaceuticals, Inc. (NASDAQ:ACHN) has experienced a bearish sentiment from hedge fund managers, we can see that there was a specific group of funds who were dropping their full holdings last quarter. It’s worth mentioning that James E. Flynn’s Deerfield Management dumped the largest position of all the hedgies monitored by Insider Monkey, comprising close to $18 million in stock, and William Michaelcheck’s Mariner Investment Group was right behind this move, as the fund cut about $1.3 million worth of stock.
Let’s go over hedge fund activity in other stocks similar to Achillion Pharmaceuticals, Inc. (NASDAQ:ACHN). We will take a look at Aerojet Rocketdyne Holdings Inc (NYSE:AJRD), TASER International, Inc. (NASDAQ:TASR), Hecla Mining Company (NYSE:HL), and HFF, Inc. (NYSE:HF). This group of stocks’ market valuations match ACHN’s market valuation.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| AJRD | 19 | 282554 | -6 |
| TASR | 11 | 44600 | 1 |
| HL | 11 | 25978 | 2 |
| HF | 11 | 27678 | -1 |
As you can see these stocks had an average of 13 hedge funds with bullish positions and the average amount invested in these stocks was $95 million. That figure was $345 million in ACHN’s case. Aerojet Rocketdyne Holdings Inc (NYSE:AJRD) is the most popular stock in this table. On the other hand TASER International, Inc. (NASDAQ:TASR) is the least popular one with only 11 bullish hedge fund positions. Compared to these stocks Achillion Pharmaceuticals, Inc. (NASDAQ:ACHN) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.
Disclosure: none
