Yesterday, Helbiz (NASDAQ:HLBZ) stock captured the attention of Wall Street as it skyrocketed to gains of more than 50%. The micro-mobility platform hadn’t reported any positive catalysts during the quarter. Until yesterday, HLBZ stock had spent the month on a steady downward trajectory and had lost 85% of its value over the past six months. That is a highly discouraging performance, especially from a micro-cap penny stock that trades for less than $1 per share.
HLBZ hasn’t been above the $1 mark in months, but yesterday it more than doubled in value. InvestorPlace contributor Chris MacDonald attributed this surge to enthusiasm spurred by the company’s low price and “relatively small float.” As he noted, “A speculative stock at this penny stock range, HLBZ is a company that momentum traders may look at as a vehicle to play the market rally. It’s a high-beta play and, in this market, that can be a good thing on days like today.”
Does that make HLBZ stock a smart investment? Not according to InvestorPlace contributor David Moadel. He argues that Helbiz’s gains have often been driven by meme-stock frenzies, which don’t translate into long-term growth opportunities for investors. While Moadel makes it clear that he doesn’t consider the company worth an investment, there are others who disagree.
On Aug. 25, Helbiz CEO Salvatore Palella purchased 252,636 shares of HLBZ stock, briefly sending shares up 10%. And he isn’t the only investor to take a substantial stake in Helbiz, even as the company struggles to stay afloat in a competitive market.
Top 5 Investors Betting Big on HLBZ Stock
Helbiz hasn’t received as much attention from institutional investors during 2022 Q2 as many larger cap stocks. According to data from WhaleWisdom, 15 hedge funds reported 13F filings for HLBZ stock trades, down from the previous 17. This represents a decline of almost 12%. Additionally, new positions in the stock have fallen from seven to four, a decrease of more than 42% for the quarter. However, ownership percentage has risen from 4.2275% to 5.7223%, up more than 35%.
Let’s take a closer look at the institutional investors currently taking large positions in Helbiz.
- Credit Suisse (NYSE:CS): 940,000 shares. Credit Suisse did not report any HLBZ stock trades during Q2.
- Omni Partners: 366,445 shares. Omni Partners purchased 35,630 shares of HLBZ stock during Q2.
- Renaissance Technologies: 190,845 shares. Renaissance purchased 180,519 shares of HLBZ stock during Q2.
- Vanguard Group: 106,121. Vanguard did not report any HLBZ stock trades during Q2.
- Virtu Financial (NASDAQ:VIRT): 61,882 shares. Virtu purchased 8,851 shares of HLBZ stock during Q2.
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On the date of publication, Samuel O’Brient did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.