Allison Transmission Holdings Inc (ALSN): Are Hedge Funds Right About This Stock?

Now, some big names were breaking ground themselves. Valinor Management LLC, managed by David Gallo, created the biggest position in Allison Transmission Holdings Inc (NYSE:ALSN). The fund reportedly had $95.2 million invested in the company at the end of the quarter. Steve Cohen’s Point72 Asset Management also initiated a $16 million position during the quarter. The following funds were also among the new ALSN investors: Ken Griffin’s Citadel Investment Group, Glenn Russell Dubin’s Highbridge Capital Management, and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Allison Transmission Holdings Inc (NYSE:ALSN) but similarly valued. We will take a look at Grupo Aeroportuario del Sureste (ADR) (NYSE:ASR), PacWest Bancorp (NASDAQ:PACW), Burlington Stores Inc (NYSE:BURL), and Nordson Corporation (NASDAQ:NDSN). This group of stocks’ market values resemble ALSN’s market value.

As you can see these stocks had an average of 19 hedge funds with bullish positions and the average amount invested in these stocks was $298 million. That figure was $1.9 billion in ALSN’s case. Burlington Stores Inc (NYSE:BURL) is the most popular stock in this table. On the other hand Grupo Aeroportuario del Sureste (ADR) (NYSE:ASR) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks Allison Transmission Holdings Inc (NYSE:ALSN) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.