Published on 26 Oct 2021 on Insider Monkey via Yahoo Finance

Hedge Funds Are Crazy About Tricida, Inc. (TCDA)

Hedge funds and large money managers usually invest with a focus on the long-term horizon and, therefore, short-lived dips or bumps on the charts usually don't make them change their opinion towards a company. This time it may be different. The coronavirus pandemic destroyed the high correlations among major industries and asset classes. We are now in a stock pickers market where fundamentals of a stock have more effect on the price than the overall direction of the market. As a result we observe sudden and large changes in hedge fund positions depending on the news flow. Let’s take a look at the hedge fund sentiment towards Tricida, Inc. (NASDAQ:TCDA) to find out whether there were any major changes in hedge funds' views.

Tricida, Inc. (NASDAQ:TCDA) was in 21 hedge funds' portfolios at the end of June. The all time high for this statistic is 24. TCDA shareholders have witnessed an increase in hedge fund interest recently. There were 20 hedge funds in our database with TCDA holdings at the end of March. Our calculations also showed that TCDA isn't among the 30 most popular stocks among hedge funds (click for Q2 rankings).

In the financial world there are a multitude of metrics stock traders use to value stocks. A pair of the most useful metrics are hedge fund and insider trading activity. Our experts have shown that, historically, those who follow the best picks of the top fund managers can outperform the S&P 500 by a healthy margin (see the details here). Also, our monthly newsletter's portfolio of long stock picks returned 185.4% since March 2017 (through August 2021) and beat the S&P 500 Index by more than 79 percentage points. You can download a sample issue of this newsletter on our website.