New York-based hedge fund Davidson Kempner, managed by Thomas Lenox Kempner, has recently disclosed a new position in Levy Acquisition Corp (NASDAQ:LEVYU). According to a new filing with the Securities and Exchange Commission, Davidson Kempner now holds 1.5 million shares of the company. The stake is passive by nature and amasses 7.7% of the company’s outstanding common stock. At the current share price of the company, the value of the position amounts to $14.9 million.

Levy Acquisition Corp is a blank check company which went public last week, on November 15. Since blank check companies are created for the main purpose of merger, or asset/stock acquisition of another company, it has not yet identified a potential target, and hence has not generated any revenues or profits.

The IPO conducted by Levy Acquisition Corp involved selling of 15 million units at a price of $10 apiece. Following discounts and commissions, the proceeds earned by the company amounted to over $140 million.

According to the SEC database of filings, Davidson Kempner has been expressing its interest for blank checks for some time now. Over the last couple of months, the fund disclosed moves into five blank check companies, including Levy. Some of the latest have been ROI Acquisition Corp II (NASDAQ:ROIQU), and Quartet Merger Corp (NASDAQ:QTETU). This is not surprising, since Thomas Lenox Kempner often prefers to invest in various special scenarios.

According to the fund’s latest 13F filing, some of the top holdings in its equity portfolio involve NYSE Euronext (NYSE:NYX), in which Davidson Kempner owns 3.1 million shares, worth $127.3 million. In Dell Inc. (NASDAQ:DELL), the fund reported ownership of 8.3 million shares, with an aggregate value of $127.3 million, followed by a $95.2 million position in BMC Software, Inc. (NASDAQ:BMC), which contains 2.1 million shares

Disclosure: none

Recommended Reading:

Pacifica Capital Investments Slice Position in R.G. Barry Corp.

Robert Karr, Joho Capital Boost Holding in Veeco Instruments

Mario Gabelli, Gamco Investors Close Stake in Edgen Group

Pacifica Capital Investments, managed by Steve Leonard, has disclosed in a new filing decreasing its position in R.G. Barry Corp. (NASDAQ:DFZ). The position currently contains 522,260 shares, with an aggregate value of almost $10 million, at the current stock price of the company. The new stake is passive by nature and amasses 5% of the company’s common stock. Earlier, the fund reported holding 627,300 shares.

The net earnings of R.G. Barry has declined by 22.4% to $4.8 million in the previous quarter, which represent $0.54 per share. The stock of the company returned almost 35% since the beginning of the year, sporting a P/E of almost 19. The company also trails a PEG ratio of around 1.3, and has an expected EPS growth of around 13% for the next year.

The fund has been reducing its exposure in the company for some time now. Before disclosing 627,300 shares in its latest 13F, the fund reported ownership of over 1.0 million shares.

In addition to Pacifica, our records show several other hedge funds reported holding shares of R.G. Barry Corp. One of the largest is held by Royce & Associates, led by Chuck Royce, which owns 1.4 million shares. It is followed by Mill Road Capital Management, managed by Thomas E. Lynch, disclosed a position, which amasses 641,000 shares; and Jim Simons‘ Renaissance Technologies, with an ownership of 295,700 shares.

Among largest positions in the equity portfolio of Pacifica Capital, we can mention Goldman Sachs Group, Inc. (NYSE:GS), in which the fund held almost 200,000 shares, valued at $31.6 million, and Berkshire Hathaway Inc. (NYSE:BRK-B), in which Pacifica reported a $30.8 million stake, which amasses 271,668.

Disclosure: none

Recommended Reading:

Robert Karr, Joho Capital Boost Holding in Veeco Instruments

Mario Gabelli, Gamco Investors Close Stake in Edgen Group

Mark Gallogly, Centerbridge Partners Limit Exposure to BankUnited

Robert Karr‘s hedge fund Joho Capital has boosted its position in Veeco Instruments Inc. (NASDAQ:VECO), a new filing with the Securities and Exchange Commission showed. Joho currently owns over 2.5 million shares of the company, up from around 941,000 shares reported in its latest 13F. The position is passive by nature and amasses 6.5% of the company’s outstanding stock. At the current share price of Veeco Instruments, the position held by the fund has a value of $79.5 million.

Veeco Instruments is a company engaged in the semiconductors industry, which specializes on manufacturing and selling LED products, hard-disk drives, power and wireless semiconductors, etc. At the beginning of the month, Veeco completed the purchase of Synos Technologies, which produces systems that will help to initiate the production of flexible OLED displays for mobile devices. For the third quarter of the year, Veeco reported a net revenue of $99.3 million, down from $132.7 million in the same period of last year. The company also posted a net loss of $6.0 million, versus an income of $7.7 million in the third quarter of 2012. Since the beginning of the year, the stock of the company returned around 6%, trailing a P/E of 20.2.

According to our records, several hedge funds, aside from Joho, reported holding shares of Veeco Instruments. The largest position is owned by Chuck Royce’s Royce & Associates, with an ownership of 2.8 million shares; followed by Ken Fisher’s Fisher Asset Management, which holds 2.5 million shares. Bain Capital‘s Brookside Capital owns a smaller stake, which contains some 811,700 shares.

Robert Karr, the manager of Joho Capital, is one of the so-called “Tiger Cubs” of the notorious investor Julian Robertson. Karr employs a simplistic approach to picking investment opportunities, focusing on a small concentration of top-notch companies.

Disclosure: none

Recommended Reading:

Mario Gabelli, Gamco Investors Close Stake in Edgen Group

Mark Gallogly, Centerbridge Partners Limit Exposure to BankUnited

J. Carlo Cannell, Cannell Capital Add to Position in Hooper Holmes

Mario Gabelli, the manager of Gamco Investors, cashes in on Edgen Group Inc (NYSE:EDG). In a recent filing with the Securities and Exchange Commission, Gamco reported closing the position in Edgen Group. The fund previously owned 1.45 million shares, after recently disclosing an addition to their position.

Edgen Group Inc has been taken over by Sumitomo Corporation. The deal was made public yesterday, with the Japanese company paying $12.00 per share.

Dan O’Leary, the President and Chief Executive Officer of Edgen Group, said:

This transaction gives us the capacity to serve the expanding needs and complex procurement requirements of the global energy infrastructure industry on an even greater scale. We look forward to leveraging the value of this new partnership on behalf of our customers around the world.

Kazuhiro Takeuchi, President and CEO of Sumitomo Corporation of America, said:

As a leader in the supply of steel products across the upstream, midstream and downstream oil and gas market in the United States, the acquisition of Edgen Group gives us a broader global distribution platform, including experienced staff, facilities, and an expanded specialized steel product offering that will allow us to continue our growth and to support the development of our global energy infrastructure

Other funds that were heavily invested in Edgen Group before the takeover are Kingdon Capital, run by Mark Kingdon, with a holding of 476 thousand shares, Driehaus Capital, managed by Richard Driehaus, with a little over 500 thousand shares, and Brian Taylor‘s Pine River Capital Management, which owned 140 thousand shares.

Disclosure: none

Recommended reading:

Mark Gallogly, Centerbridge Partners Limit Exposure to BankUnited

J. Carlo Cannell, Cannell Capital Add to Position in Hooper Holmes

GL Partners Adds to Position in SciClone Pharmaceuticals; Reveals New Stake in China Biologic Products

Mark T. Gallogly, the manager of Centerbridge Partners, has cut the fund’s exposure to BankUnited (NYSE:BKU). In a recent filing with the Securities and Exchange Commission, Centerbridge Partners reported ownership of 4.3 million shares of BankUnited, down from 6.4 million shares reported by the fund in their latest 13F filing. Centerbridge’s current position represents 4.3% of the company’s common stock.

Another fund that has been dumping BankUnited shares is Levin Capital Strategies, run by John A. Levin. Levin Capital has reduced it’s holding by 74% to a little over 361 thousand shares, reportedly worth $11.2 million. On the other hand, Jim Simons of Renaissance Technologies is bullish on BankUnited. Simons has increased his fund’s holding by 49% to 734,000 shares valued at approximately $22.9 million. Chuck Royce is also optimistic about BankUnited’s prospects. Royce & Associates, according to their latest 13F filing, is now holding about 492 thousand shares with a reported worth of $15 million.

BankUnited offers financial services to businesses and individual customers in United States. The company’s stock has advanced 30% so far this year, with shares currently trading at $31.50. The stock has a trailing Price to Earnings (P/E) ratio of 14.92 and a beta of 0.87. BankUnited pays a dividend of $0.84 per share, which represents a yield of 2.7%.

On November 8th, the company presented the financial results for the third quarter of 2013. BankUnited registered revenues of $187 million and earnings per diluted share (EPS) of $0.52. Analysts expect the company to post weaker results for the fourth quarter, estimating revenues of $171 million and EPS of  $0.46. Nevertheless, the stock is touted as a Buy and Strong Buy, with the mean price target set at $34.42.

Disclosure: none

Recommended reading:

J. Carlo Cannell, Cannell Capital Add to Position in Hooper Holmes

Edward Lampert, ESL Investments Reduce Stake in AutoNation

GL Partners Adds to Position in SciClone Pharmaceuticals; Reveals New Stake in China Biologic Products

J. Carlo Cannell is bullish on Hooper Holmes, Inc. (NYSEMKT:HH), and according to a recent Form 4 filing with the Securities and Exchange Commission, Cannell’s fund Cannell Capital has revealed the acquisition of 96,225 shares, in three transactions, at prices between $0.45 and $0.46 per share. Following the deals, Cannell Capital’s position has been increased to 10,042,991 shares. With Hooper Holmes currently trading at $0.52 apiece, Cannell’s investment is worth $5.2 million.

Chuck Royce, the manager of Royce & Associates, has liquidated the fund’s stake in Hooper Holmes. Having previously owned 1.8 million shares, Royce & Associates has reported in the latest 13F filing no ownership of Hooper Holmes stock. Jim Simons‘ Renaissance Technologies has also reduced its stake. According to the latest 13F report, the fund has decreased the holding of Hooper Holmes stock by 45,000 shares to 869,000 shares reportedly worth $409,000.

Hooper Holmes provides life and health insurance companies with services of health risk assessment. At the end of September, the company reported the sale of Portamedic service line. American Para Professional Systems, Inc. paid $81 million in cash for the division and allowed Hooper Holmes to retain its existing Portamedic working capital. Ronald Aprahamian, Chairman of the Board, said:

As a result of this transaction, we have improved our balance sheet with cash on hand, and can now provide improved services to our current clients and pursue the growing Health and Wellness industry. We believe these efforts will lead us to profitable operations and provide improved results for our shareholders.

On September 26th, the company announced the promotion of Tom Collins to the position of Chief Financial Officer. Collins previously held the position of Senior Vice President of Operations for Hooper Holmes' Portamedic division.

The company’s shares have a beta of 1.91, making it a rather volatile stock, and it currently pays no dividend. For the third quarter of 2013, Hooper Holmes reported revenues of $10.9 million and a loss per diluted share of $0.05.

Disclosure: none

Recommended reading:

Edward Lampert, ESL Investments Reduce Stake in AutoNation

GL Partners Adds to Position in SciClone Pharmaceuticals; Reveals New Stake in China Biologic Products

Hedge Fund News: Kyle Bass, Edward Lampert & David Tepper

In an industry dominated by a few giants like QUALCOMM, Inc. (NASDAQ:QCOM) and Cisco Systems, Inc. (NASDAQ:CSCO), news about smaller companies are not that popular. However, a couple of insider purchases in the communication equipment industry have caught my attention lately: directors and officers at ViaSat, Inc. (NASDAQ:VSAT) and Crossroads Systems, Inc. (NASDAQ:CRDS) have been adding stock to their portfolios.

What´s interesting about these acquisitions is that both companies are quite distressed in terms of profitability. So you might wonder, what led insiders to purchase their stock? And, are these companies worthy additions for your own portfolio?

The Mid-Cap Option

ViaSat, Inc. (NASDAQ:VSAT) is a provider of high-speed satellite broadband services and secure networking systems, products and services. Since it released its last quarterly results (last Tuesday, Nov 12^th), at least 17 Form 4s were presented at the Securities and Exchange Commission. However, most of them were not actual purchases, but rather stock units granted by the company. Notwithstanding, its Chief Financial Officer, Leroy Bruce Dirks, did acquire stock. On three separate transactions -two on Nov 14^th and one on Nov 19^th, he bought a total of 1500 shares: 500 for $61.47 each; 500 for $61.36 a piece; and 500 for $58.07.

Stock now stands around $58.31 per share, which means that Dirks still perceives some downside since his acquisitions. However, the price that he paid for the stock is either below or slightly above its 200 day moving average of $59.91, but nowhere near its 52-week high point of $73.43. Being this the case, the firm´s CFO might have found a good entry point for a long-term investment.

Dirks´ purchase follows a few developments at ViaSat, Inc. (NASDAQ:VSAT). For starters, the company´s market capitalization recently surpassed the lower end of the S&P 500, which is quite a big deal. However, his main bet seems to be placed on growth. Although ViaSat currently operates in the U.S. and Canada, international expansion opportunities, especially in third world countries with poor communications infrastructure, are huge. Maybe it's time to buy and hold.

The Nano-Cap Option

Crossroads Systems, Inc. (NASDAQ:CRDS) is a nano-cap data protection solutions and services worldwide provider. Since the beginning of November, E. Jeffrey Eberwein, board director, bought 80,600 shares at prices ranging from $1.05 to $1.50 per share. Shares already trade at $1.53 each. Eberwein now holds 780,600 shares of the company.

The aforementioned purchases came after the company said it will lay off 40% of its workforce, and “will focus sales and marketing efforts on the Company’s previously announced strategy of primarily leveraging OEM and strategic partners with respect to the Crossroads StrongBox product” (Form 8-K).

Hedge Fund Bulls

Sixteen of the major hedge funds that we track are placing bets on ViaSat, Inc. (NASDAQ:VSAT). The most bullish of them all is Seth Klarman's Baupost Group, which holds 11 million shares (which account for almost 20% of its portfolio). Klarman's fund is followed by Bob Peck and Andy Raab's Fpr Partners that owns almost 6 million shares, which make up for roughly 17% of its holdings.

Crossroads Systems, Inc. (NASDAQ:CRDS) is about 15 times smaller than ViaSat in terms of market cap. Consequently, hedge funds betting on its future are substantially less. Amongst the main funds that we track, Mark N. Diker's Diker Management and Israel Englander's Millennium Management hold stakes in the company and, in both cases, they don't even account for 0.2% of their portfolios.

Disclosure: none

Recommended Reading:

Insiders are Crazy About USA Synthetic Fuel Corp

Omnitek Engineering Corp Is Grasping for Breath while Tumbling Down

Why Are Insiders Loving These Small-Cap Advertising Companies

Edward Lampert‘s ESL Investments has revealed in a recent Form 4 filing with the Securities and Exchange Commission the disposal of some AutoNation, Inc. (NYSE:AN) shares. 10,358 shares were sold in 5 transactions at a price of $49.98 and 700 were sold in 4 transactions at $49.25 apiece. Following the deals, ESL Investments directly holds almost 14.9 million shares, while indirectly its holdings amass around 16.9 million shares.

Another hedge fund that is invested in the US automotive retailer is Murray Stahl‘s Horizon Asset Management. During the third quarter, Stahl has slightly reduced the fund’s exposure to AutoNation. Horizon sold 100K shares, but continues to hold a little over 6 million shares valued at $317 million. A hedge fund manager that is bullish on this stock is Daniel S. Och. His fund, Oz Management, has added 585K shares to their investment in AutoNation. Och currently holds 3.2 million shares reportedly worth $171 million.

AutoNation is the biggest automotive retailer in the United States. The stock price of the auto retailer has been in an uptrend so far in 2013, advancing 18% to a current value of $49.16. Shares have a trialing Price to Earnings (P/E) ratio of 17.42 and a beta of 0.94. AutoNation does not pay a dividend. For the three months ended September 30, 2013, the company posted revenues of $4.4 billion, a 14% year-over-year increase, and Earnings Per Share (EPS) of $0.75, missing the market expectations of $0.77. Analysts expect the stock to improve performance in the current quarter and estimate revenues of $4.58 billion and EPS of $0.77. They recommend AutoNation stock mainly as a Hold, with the current price having reached the mean target of $48.50. THe highest price target is $60.

Disclosure: none

Recommended reading:

GL Partners Adds to Position in SciClone Pharmaceuticals; Reveals New Stake in China Biologic Products

Hedge Fund News: Kyle Bass, Edward Lampert & David Tepper

Brown Trout Management Reveals New Stake in Camco Financial Corp.

GL Partners Capital Management has increased the holding of SciClone Pharmaceuticals, Inc. (NASDAQ:SCLN) stock. In a recent filing with the Securities and Exchange Commission, the fund has revealed that it now holds 3.7 million shares of SciClone Pharmaceuticals, up from the previously reported 3.3 million. GL Partners’ current position accounts for 7.1% of the company’s outstanding shares. The fund has also reported opening a position in China Biologic Products Inc (NASDAQ:CBPO).

SciClone Pharmaceuticals provides therapy solutions for a number of disorders, both in People's Republic of China and internationally. Company shares have registered a significant rally in July and, following the top in the beginning of August, have fallen back to the level they traded at in January. At the moment, shares change hands at a price of $4.66 and have a trailing Price to Earnings (P/E) ratio of 20.26. The forward P/E ratio of 8.59 suggests market participants expect the company to improve it’s financial performance. In the third quarter of 2013, SciClone Pharmaceuticals registered revenues of $35 million and earnings per share of $0.16. Analysts expect the share price to bounce back, having set a mean target of $8 apiece.

GL Partners has also initiated a passive position in China Biologic Products.  The fund has acquired a little under 1.5 million shares of the biopharmaceutical company, which represents 5.8% of the common stock.

China Biologic’s stock has rallied 99% in 2013, with shares currently trading at $29.35. The stock has a trailing P/E ratio of 15.69 and does not pay a dividend. For the third quarter of 2013, China Biologic Products has reported revenues of $53 million and earnings per diluted share of $0.53. Analysts expect a weaker financial performance in the current quarter, forecasting revenues of $41.5 million and earnings per share of $0.38.

Disclosure: none

Recommended reading:

Hedge Fund News: Kyle Bass, Edward Lampert & David Tepper

Brown Trout Management Reveals New Stake in Camco Financial Corp.

Becker Drapkin Management Decreases Stake in Pixelworks

Frontiers forge ahead as emerging markets disappoint (FT)
Kyle Bass, a hedge fund manager who made a fortune betting against Greek bonds and US subprime, dropped a bombshell at a conference in September: he is investing in Argentina, Latin America's perennial problem child and a nemesis of hedge funds. Mr Bass is unfazed by the country's reputation, and confidently predicted that pro-business politicians would take over after presidential elections in 2015. "Argentina's problems can be fixed in two years," he argued. "Now is the time to start investing." The US hedge fund manager is not the only one intrigued by the investment opportunities of Argentina.

Sears Loss Widens as Lampert Seeks Asset Sales (Bloomberg)
Sears Holdings Corporation (NASDAQ:SHLD) posted a wider third-quarter loss as Chief Executive Officer Edward Lampert works to sell more of the department-store chain's assets to drum up cash amid a six-year sales decline. The net loss, the company's sixth in a row, widened to $534 million, or $5.03 a share, from $498 million, or $4.70, a year earlier, Hoffman Estates, Illinois-based Sears said today in a statement. Sears said last month it would report a loss of $532 million to $582 million for the 12 weeks ended Nov. 2. Sales fell 6.6 percent to $8.27 billion.

U.S. hedge fund advisor pleads guilty to child porn charges (GNom)
Prominent hedge fund advisor Ezra Zask pleaded guilty to possession of child pornography in a New York court on Wednesday, avoiding jail time for the charges. The founder of hedge fund consulting firm SFC Associates and author of numerous books on investing was arrested in his Manhattan apartment in July of last year after police, acting on a search warrant, found numerous illegal videos and images on his computer, the New York City police department said. Zask entered the guilty plea in front of New York Supreme Court Judge Larry Stephen and is scheduled to be sentenced in March. "The agreed upon sentence is one of probation," Zask's lawyer Alan Futerfas said.

New complete guide to the world of hedge funds comes on the scene (Opalesque)
Daniel Capocci's latest book, « The complete guide to hedge funds & hedge fund strategies » (Palgrave Macmillan), is the latest endeavour from an author to explain the basics of the many facets of this investment vehicle. There are no shortages of books nowadays explaining the hedge fund world, but this 500+ page book is perfectly suited for those who want a complete run around the specificities of hedge funds. Capocci is senior investment manager at Architas Multi-Manager, a member of the global AXA Group, and has been analysing the hedge fund industry for 15 years…

Former Hedge Fund Manager Indicted for Defrauding Investors (NewsroomAmerica)
Stanley J. Kowalewski has been arrested in South Carolina after being indicted by a federal grand jury in Atlanta for defrauding investors of hedge funds of up to $8 million and for obstructing the U.S. Securities and Exchange Commission's subsequent investigation of his activities. "Kowalewski is charged with stealing from the investors who trusted him and then repeatedly lying to them and the SEC about his self-dealing," said United States Attorney Sally Quillian Yates. "The victims of his greed include pension funds, schools, hospitals, and other non-profits who lost over $8 million in hard-earned money, which Kowalewski diverted to his own personal use."

Activist Pushing for Change at Darden Hires Outside Advisers (NYTimes)
The activist hedge fund pushing for change at Darden Restaurants signaled on Thursday that it was ramping up its pressure. Barington Capital, which it owns over 2 percent of the restaurant group's shares, announced that it has hired the investment bank Houlihan Lokey to conduct "an independent review" of its recommended changes to the company's strategy. In perhaps a more intriguing move, Barington said that it had also hired MacKenzie Partners, a proxy soliciting firm often used in board fights.

Fed won’t taper anytime soon: Pro (CNBC)

Brown Trout Management, reported in a new filing with the Securities and Exchange Commission, initiating  a new position in Camco Financial Corp. (NASDAQ:CAFI). The stake is passive by nature and contains around 738,500 shares, with an aggregate value of some $4.6 million, at the current stock price of the company. The position amasses 5.2% of the company’s common stock.

It is interesting to mention, that at the end of October, Brown Trout, managed by Steven Gerbel, disclosed an equal position ,of 5.2% of the common stock, in another financial company, Tower Financial Corporation (NASDAQ:TOFC). The fund holds similar stakes in two other companies from the industry: Mayflower Bancorp Inc. (NASDAQ:MFLR), and BCSB Bancorp Inc (NASDAQ:BCSB).

The move made by Brown Trout into Camco Financial comes after the company reported that the consent order issued by the Federal Insurance Corporation and the State of Ohio’s Department of Commerce, Division of Financial Institution has been terminated. The company, which conducts its operations mainly through its Advantage Bank holding, stated that the termination of the order underlines the progress it has been achieving in pursuing long-term growth.

The stock of the company gained over 200% since the beginning of the year, and sports a P/E of 7.xx. In the third quarter of the year, Camco reported a slight appreciation in its net income, which amounted to $0.7 million, up from $0.5 million for the same quarter of last year.

Earlier in October, Huntington Bancshares Incorporated (NASDAQ:HBAN) and Camco Financial reported about signing a definitive merger agreement, under the terms of which Huntington will purchase Camco in a cash and stock transaction. Camco’s stockholders will have the option to receive $6.00 in cash for each share of Camco Financial, or around 0.7 shares of Huntington common stock.

Aside from Brown Trout Management, Firefly Value Partners, led by Ryan Heslop and Ariel Warszawski, and Jeffrey Gendell‘s Tontine Asset Management, also reported holding shares of Camco Financial. Each of the funds holds around 1.1 million shares, and 813,500 shares respectively, according to our records.

Disclosure: none

Recommended Reading:

Becker Drapkin Management Decreases Stake in Pixelworks

Billionaire Carl Icahn Initiates Major Activist Position in Hologic

Rangeley Capital Ups Stake in Ocean Shore Holding; Suggests Sale of the Company

Matthew Drapkin and Steven R. Becker‘s hedge fund Becker Drapkin Management reported, in a newly amended filing with the SEC, selling some shares from its holding in Pixelworks, Inc. (NASDAQ:PXLW). The fund has reduced its position in the company to some 2.5 million shares, after revealing holding over 2.8 million shares in its latest 13F filing. The new stake amasses 11.4% of the company’s outstanding common stock. The position has a value of $10.4 million, at the current stock price of the company.

The fund explained the move by the fact that since the fund first purchased the shares of the company, due to the increase in the share price of Pixelworks. In this way, the size f the investment as a percentage of their equity portfolio expanded and became higher than the optimal position size. Despite the slight decrease, Becker Drapkin still holds a large stake in the company, so the fund will still have its representation on the company’s board. Becker Drapkin initiate stake in Pixelworks in December 2011, according to the SEC filings. Since then, the stock of the company appreciated by over 130%.

Semiconductor company Pixelworks specializes in design and development of various pixel processing semiconductors, as well as software for digital video. In the third quarter of the year, the company reported $15.3 million worth of revenue, slightly below $16.3 million in the same period of last year. The company also posted a net income of $1.5 million, which represents a surge from a loss of $0.4 million in the third quarter of 2012.

Aside from Matthew Drapkin and Steven Becker’s fund, another hedge fund that holds a relatively big position in Pixelworks is Renaissance Technologies, managed by Jim Simons. The fund reported holding below 1.0 million shares of the company in the latest round of 13F filings.

Disclosure: none

Recommended Reading:

Billionaire Carl Icahn Initiates Major Activist Position in Hologic

Rangeley Capital Ups Stake in Ocean Shore Holding; Suggests Sale of the Company

Richard Lashley, PL Capital Nominate Director for Alliance Bancorp Inc of Pennsylvania's Board

Billionaire Carl Icahn has recently added Hologic, Inc. (NASDAQ:HOLX) to its equity portfolio, a new filing with the Securities and Exchange Commission revealed. Mr. Icahn reported holding 34.2 million shares of the company, the stake amassing 12.63% of the company’s common stock. The new position is activist by nature, so we should expect Icahn to engage in negotiations with the Board regarding Hologic’s activity. At the current stock price of the company, the value of Icahn’s holding amounts to $760.97 million.

At the same time, the filing stated that Icahn purchased the shares of Hologic since it considers the company undervalued. The “hedgie” also plans to discuss with the management of the company regarding possibilities to increase the shareholder value of the company. And since Icahn’s position is significant, he might consider proposing a person to represent him on the board.

Amid the move, the stock of Hologic gained over 9% in pre-market trading. Since the beginning of the year, the share price of the company increased by more than 11%, trailing a forward P/E of 14.xx.

Right before Icahn revealed acquiring the position in Hologic, the company announced that it received a notification from the billionaire regarding his intentions. The company, which is engaged in development and manufacture of diagnostic and surgical products, has approved a one-year-long shareholder rights plan. Through to the plan, the board wants to make sure that a person or a group will not gain control of the company through open-market purchase of shares. The board also plans that the shareholder plan will help Hologic to develop its strategic initiatives and build long-term value for its shareholders, the company said in a statement.

According to our database, several hedge funds aside from Carl Icahn and Icahn Capital, hold long positions in Hologic. John Osterweis‘ Osterweis Capital Management owns around 3.4 million shares, followed by Sectoral Asset Management, led by Jerome Pfund and Michael Sjostrom, and Stephen Dubois‘ Camber Capital Management, which hold some 2.7 million shares, and 2.0 million shares respectively.

Disclosure: none

Recommended Reading:

Rangeley Capital Ups Stake in Ocean Shore Holding; Suggests Sale of the Company

Hedge Fund News: Warren Buffett, Jim Chanos & Jim Rogers

Richard Lashley, PL Capital Nominate Director for Alliance Bancorp Inc of Pennsylvania's Board