Endo Pharmaceuticals’ (ENDP) fortunes appear to have taken a turn for the better. In May I suggested that exciting drugs in its pipeline could make the stock a four-bagger. In June Endo announced the execution of a master settlement agreement allowing for the resolution of all the company’s known testosterone replacement therapy (“TRT”) product liability claims. The company has announced distribution deals for certain products with Merck, Takeda, and Bioprojet. Blackrock’s (BLK) has made a colossal bet on the stock, which could help sentiment down the road. Since we covered it in May ENDP has nearly doubled.

After BlackRock piled in we queried whether hedge funds would follow suit:

BlackRock is one of world’s leading investment advisors with over $6 trillion in assets under management. In my opinion, this is a huge vote of confidence for ENDP. The question remains, “Will hedge funds pile in?” Hedge funds love to invest alongside other big investors in what are known as “club deals.”

Hedge funds are also great at creating buzz around their stock picks. They have a knack for getting [i] journalists and bloggers to write incessantly about what the “smart money” is doing, and [ii] individual investors to crowd into the trade.

The next to pile in was not Gordon Gekko, or Third Point’s Dan Loeb or Pershing Square’s Bill Ackman. It was a fund run by the government of the state of Alaska.

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