The Best Hedge Funds for Exceptional Investment Returns
This article lists some of the most successful hedge funds based on the quality of their management, track record, key strategic focus, risk management, fee structure, and other criteria. Hedge funds follow various strategies to offer investors a compelling, but risky investment alternative. Investing with one requires a high minimum investment and specific wealth profile (high net worth, high-income generation threshold) from accredited investors. Hedge funds charge (approx.) a 2% management and 20% performance fee. The idea or hope is that they are worth it.
Biohaven (BHVN), Voxx (VOXX), Asana (ASAN), and Carnival (CUK, CCL) Lead Insider Purchases the Week of 10/9/2023
Biohaven (BHVN), Voxx (VOXX), Asana (ASAN), and Carnival (CUK, CCL) constituted some of the top insider purchases the Week of 10/9/2023. CEO Vlad Coric, an astute biotech entrepreneur and investor (you can read about him here) bought $10 million worth of stock of BHVN at $22.00 a share, as did director John Childs, on 10/5. After Pfizer spent $11.6 billion to buy Biohaven's migraine treatment assets, including an already approved drug, the firm's operations focus on treatments for epilepsy, spinal muscular atrophy, and a protein degradation program with multiple potential uses. Steven Downing, Director, bought over $15 million worth of shares in the auto and consumer electronics supplier Voxx International Corp. (VOXX). The stock actually rallied more than 20% on 10/11 after Gentex Corp....
Largest Insider Stock Purchases Belonged in Biotech and Energy the Week of 9/18/23
Two verticals constituted the lion share of insider purchases last week. In biotech, Neumora Therapeutics (NMRS) saw Amgen (AMGN) and the CEO buying shares. Rayzebio (RYZB) and Ambrx Bio (AMAM) also saw large insider accumulation. In the energy field, Chargepoint Holding (CHPT), Highpeak Energy (HPK) (where both the CEO and the President bought), Enphase Energy (ENPH), CNX Resources (CNX), and Riley Exploration (REPX) also saw insiders acquire substantial amounts of shares. Outside the biotech and energy verticals, of note are insider purchases at Maplebear (Instacart) (CART), Asana (ASAN) (where the CEO has been buying shares for months), and Westrock Coffee (WEST). CHPT buyer Wil VanLoh founded Quantum Energy Partners in 1998 and serves as CEO of the firm and as Chairman...
Veblen, Inflation, Hedges
In The Theory of the Leisure Class, Thorstein Veblen develops the theory of wasteful or conspicuous consumption. He defines it as spending more money on goods than they are worth. Essentially, it's about spending to impress. Turns out, luxury goods can do well in inflationary times (along with land and real estate, commodities, oil and gas, metals and mining, agriculture stocks, the type of assets that rocketed during the 70's). It is a bit of a paradox, of course, but vanity can go a long way. Spoiler #1, Veblen was not exactly a bona fide capitalist... Spoiler #2, the stock of Ferrari has been a standout since it went public toward the end of 2015, but RACE remains expensive at current price. Spoiler...
Revisiting Insider Purchases Made the Second Week of May 2021: Scary!
Insiders purchased a lot shares of biotech and small medical device companies the Second Week of May 2021 (often shortly after IPO), only to lose their shirt! If you followed the smart crowd, and invested at around the same time, you are probably sitting on severe losses. Most stocks have seen an at least 50% haircut, and that's after accounting for some of the recovery of late. Neurospace (NPCE), Design Therapeutics (DSGN), Werewolf Therapeutics (WOLF), Reneo Pharmaceuticals (RPHM), Cyclerion Therapeutics (CYCN), and Nuvation Bio (NUVB), to name a few, have all collapsed or near-collapsed. A couple of stocks are indeed trying to recover. Unsurprisingly, all of the above are unprofitable ventures. The lesson is clear. Best to stay away from unprofitable biotech and...
Elliott's Investment in SalesForce is a Mere Sign that the Stock's Finally Reached Fair Value
Activist investor Elliott has made a multibillion-dollar investment in Salesforce (CRM). Elliott will probably push for CRM to make operational improvements (and possibly seek board representation). The company's already laid off 10% of its workforce. The fears of an economic slowdown may prompt potential customers to postpone the acquisition of new CRM functionality. Revenue has recently decelerated.The stock's lost about 50% of its value in a little over a year. A co-CEO's leaving the company, and so is the co-founder of Slack Tech, which CRM acquired last year (after buying Tableau and MuleSoft earlier). Starboard Value, another top investor, has also acquired a key stake in CRM. But, unsurprisingly, it's not advocated for major changes. Indeed, there is nothing too...
Howard Hughes & Pershing Square
Pershing Square Capital Management, L.P. has a 31.7% stake in Howard Hughes (HHC). If you believe Bill Ackman is a smart investor - and he is - 's got to make you... think.
The firm has strong management, a compelling portfolio of strategically-located real estate assets, and is rather cheap, making it a possible value investment.
Ackman serves as director and chairman, has waived all compensation.
Insiders Buy Shares at Varonis Systems
Key insiders including the CEO, CFO, and SVP of Sales, bought shares of Varonis Systems (VRNS). All three are key decision-makers. the purchases are also large enough that they warrant scrutiny. The Company is expected to be profitable over the next couple of years, as is made clear below: Meanwhile, the 17 analysts offering 12-month price forecasts for Varonis Systems have a median target of 25.00, with a high estimate of 63.00 and a low estimate of 20.00. The median estimate represents a +50.69% increase from the last price of 16.59. After their recent collapse (see stock chart below), the shares seem rather cheap. Varonis Systems, Inc. (Varonis)...
Flipped A Coinbase And Landed On Tailwinds: It's A Buy
Summary A bear in crypto, a deteriorating bottom line, intensifying competition, negative sentiment, and the prospect of heavier regulation, make any investment in Coinbase a contrarian play. But crypto will not go away. Coinbase knows it. BlackRock knows it. Even the government knows it. We go against the grain, make the case Coinbase is a buy. Coinbase has to regain profitability but network effects, a strong balance sheet, solid competitive positioning, and leadership in risk management and regulatory compliance, hold promise. Coinbase is actively fighting trading fee erosion via the creation of a unique ecosystem that offers a wide range of services (well beyond trading) and multiple income streams. Check out www.funanc1al.com for market insight and so much more. We...
Insider Purchase at Adobe (ADBE) Holds Promise
EVP and CFO Daniel Durm purchased around $935,000 worth or 3,250 shares of Adobe stock (ADBE) at an average price of $288.11 per share on Sep. 22, 2022. The shares have lost around 60% of their value in a year. The company has entered into a definitive merger agreement to acquire Figma, a leading web-first collaborative design platform, for roughly $20 billion in cash and stock. The acquisition price, which is more than 50 times annualized recurring revenue, or ARR, of Figma, has rattled some investors. ADBE lost 17% the day this deal was announced on September 15, 2022. But the acquisition seems like a solid strategic fit. Further, Adobe has come to dominate in content creation software with its iconic Photoshop and Illustrator solutions, both...