Hedge funds and other investment firms that we track manage billions of dollars of their wealthy clients’ money, and needless to say, they are painstakingly thorough when analyzing where to invest this money, as their own wealth depends on it. Regardless of the various methods used by elite investors like David Tepper and Dan Loeb, the resources they expend are second-to-none. This is especially valuable when it comes to small-cap stocks, which is where they generate their strongest outperformance, as their resources give them a huge edge when it comes to studying these stocks compared to the average investor, which is why we intently follow their activity in the small-cap space.
ATN International, Inc. (NASDAQ:ATNI) has seen an increase in activity from the world’s largest hedge funds lately. There were 8 smart money investors long the stock at the end of the third quarter, which is up by 2 from the previous quarter. In spite of this new enthusiasm for the stock, the number of its shareholders was far from enough for it to be included in the list of 30 most popular stocks among hedge funds in Q3 of 2018. But, just because the company wasn’t a part of the favorite group of stocks during the quarter that doesn’t mean it is not popular when compared to similarly valued companies. That’s why, we are going to analyze ATN International, Inc. (NASDAQ:ATNI) furthermore.
Here is what Third Avenue, one of its largest shareholders, recently said about the stock in its Small-Cap Value Fund’s Portfolio Manager Commentary:
“ATNI had a spectacular quarter, rising over 40%. The thesis on ATNI was described in the Fund’s June 30,2018 letter. When the position was initiated, we believed that the valuation overly discounted the impacts from hurricane damage to its Caribbean telecom infrastructure assets. The thesis has played