Published on 26 Jul 2021 on Insider Monkey via Yahoo Finance
Were Hedge Funds Right About NGM Biopharmaceuticals, Inc. (NGM)?
In this article we will analyze whether NGM Biopharmaceuticals, Inc. (NASDAQ:NGM) is a good investment right now by following the lead of some of the best investors in the world and piggybacking their ideas. There's no better way to get these firms' immense resources and analytical capabilities working for us than to follow their lead into their best ideas. While not all of these picks will be winners, our research shows that these picks historically outperformed the market by double digits annually.
Is NGM Biopharmaceuticals, Inc. (NASDAQ:NGM) a superb investment today? The smart money was taking an optimistic view. The number of bullish hedge fund bets rose by 5 in recent months. NGM Biopharmaceuticals, Inc. (NASDAQ:NGM) was in 18 hedge funds' portfolios at the end of the first quarter of 2021. The all time high for this statistic was previously 13. This means the bullish number of hedge fund positions in this stock currently sits at its all time high. Our calculations also showed that NGM isn't among the 30 most popular stocks among hedge funds (click for Q1 rankings).
To most stock holders, hedge funds are perceived as unimportant, outdated financial tools of yesteryear. While there are over 8000 funds in operation at the moment, We choose to focus on the crème de la crème of this group, around 850 funds. Most estimates calculate that this group of people watch over the lion's share of all hedge funds' total asset base, and by monitoring their best investments, Insider Monkey has figured out many investment strategies that have historically outrun the broader indices. Insider Monkey's flagship short hedge fund strategy outperformed the S&P 500 short ETFs by around 20 percentage points per annum 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 .