Where Do Hedge Funds Stand On United States Antimony Corporation (UAMY)?

A whopping number of 13F filings filed with U.S. Securities and Exchange Commission has been processed by Insider Monkey so that individual investors can look at the overall hedge fund sentiment towards the stocks included in their watchlists. These freshly-submitted public filings disclose money managers’ equity positions as of the end of the three-month period that ended March 31st, so let’s proceed with the discussion of the hedge fund sentiment on United States Antimony Corporation (NYSE:UAMY).

Is United States Antimony Corporation (NYSE:UAMY) going to take off soon? Prominent investors were in a bullish mood. The number of long hedge fund bets moved up by 1 in recent months. United States Antimony Corporation (NYSE:UAMY) was in 3 hedge funds’ portfolios at the end of the first quarter of 2021. The all time high for this statistic is 3. This means the bullish number of hedge fund positions in this stock currently sits at its all time high. Our calculations also showed that UAMY isn’t among the 30 most popular stocks among hedge funds (click for Q1 rankings). There were 2 hedge funds in our database with UAMY positions at the end of the fourth quarter.

So, why do we pay attention to hedge fund sentiment before making any investment decisions? Our research has shown that hedge funds’ small-cap stock picks managed to beat the market by double digits annually between 1999 and 2016, but the margin of outperformance has been declining in recent years. Nevertheless, we were still able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 115 percentage points since March 2017 (see the details here). We have been able to outperform the passive index funds by tracking the moves of corporate insiders and hedge funds, and we believe small investors can benefit a lot from reading hedge fund investor letters and 13F filings.

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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. With all of this in mind we’re going to go over the new hedge fund action regarding United States Antimony Corporation (NYSE:UAMY).

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

At the end of the first quarter, a total of 3 of the hedge funds tracked by Insider Monkey were long this stock, a change of 50% from the fourth quarter of 2020. On the other hand, there were a total of 1 hedge funds with a bullish position in UAMY a year ago. With the smart money’s sentiment swirling, there exists a select group of notable hedge fund managers who were boosting their stakes considerably (or already accumulated large positions).

Among these funds, Renaissance Technologies held the most valuable stake in United States Antimony Corporation (NYSE:UAMY), which was worth $0.2 million at the end of the fourth quarter. On the second spot was Millennium Management which amassed $0 million worth of shares. Citadel Investment Group was 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 Renaissance Technologies allocated the biggest weight to United States Antimony Corporation (NYSE:UAMY), around 0.0002% of its 13F portfolio. Millennium Management is also relatively very bullish on the stock, setting aside 0 percent of its 13F equity portfolio to UAMY.

As aggregate interest increased, key money managers have jumped into United States Antimony Corporation (NYSE:UAMY) headfirst. Millennium Management, managed by Israel Englander, created the largest position in United States Antimony Corporation (NYSE:UAMY). Millennium Management had $0 million invested in the company at the end of the quarter.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as United States Antimony Corporation (NYSE:UAMY) but similarly valued. These stocks are ENGlobal Corp (NASDAQ:ENG), DLH Holdings Corp. (NASDAQ:DLHC), Geospace Technologies Corp (NASDAQ:GEOS), Galectin Therapeutics Inc. (NASDAQ:GALT), Q&K International Group Limited (NASDAQ:QK), Biolase Inc (NASDAQ:BIOL), and iMedia Brands, Inc. (NASDAQ:IMBI). This group of stocks’ market valuations are similar to UAMY’s market valuation.

View table here if you experience formatting issues.

As you can see these stocks had an average of 3.7 hedge funds with bullish positions and the average amount invested in these stocks was $10 million. That figure was $0 million in UAMY’s case. DLH Holdings Corp. (NASDAQ:DLHC) is the most popular stock in this table. On the other hand Q&K International Group Limited (NASDAQ:QK) is the least popular one with only 1 bullish hedge fund positions. United States Antimony Corporation (NYSE:UAMY) is not the least popular stock in this group but hedge fund interest is still below average. Our overall hedge fund sentiment score for UAMY is 56. 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 UAMY wasn’t nearly as popular as these 5 stocks (hedge fund sentiment was quite bearish); UAMY investors were disappointed as the stock returned -22.3% 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.