AMC Entertainment Holdings Inc (AMC): Are Hedge Funds Right About This Stock?

Seeing as AMC Entertainment Holdings Inc (NYSE:AMC) has experienced declining sentiment from the entirety of the hedge funds we track, it’s easy to see that there were a few funds that decided to sell off their positions entirely heading into Q4. Intriguingly, Martin D. Sass’ MD Sass got rid of the biggest stake of the 700 funds tracked by Insider Monkey, totaling about $3.8 million in stock, and Paul Marshall and Ian Wace’s Marshall Wace LLP was right behind this move, as the fund dropped about $2 million worth of shares.

Let’s check out hedge fund activity in other stocks similar to AMC Entertainment Holdings Inc (NYSE:AMC). We will take a look at Choice Hotels International, Inc. (NYSE:CHH), Integrated Device Technology, Inc. (NASDAQ:IDTI), Medidata Solutions Inc (NASDAQ:MDSO), and Penske Automotive Group, Inc. (NYSE:PAG). This group of stocks’ market caps resemble AMC’s market cap.

As you can see these stocks had an average of 17 hedge funds with bullish positions and the average amount invested in these stocks was $145 million. That figure was $134 million in AMC’s case. Integrated Device Technology, Inc. (NASDAQ:IDTI) is the most popular stock in this table. On the other hand Penske Automotive Group, Inc. (NYSE:PAG) is the least popular one with only 12 bullish hedge fund positions. AMC Entertainment Holdings Inc (NYSE:AMC) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard IDTI might be a better candidate to consider taking a long position in.

Disclosure: None