Blackstone Mortgage Trust Inc (BXMT): Smart Money Remains On The Sidelines

Now that we’ve mentioned the most bullish investors, let’s also take a look at some funds that cashed in their entire stakes in the stock during the third quarter. Intriguingly, Arthur Wrubel’s Wesley Capital Management cashed in the biggest position of the 700 funds followed by Insider Monkey, comprising close to $25.4 million in stock. Israel Englander’s Millennium Management also said goodbye to its stock, about $6 million worth.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Blackstone Mortgage Trust Inc (NYSE:BXMT) but similarly valued. We will take a look at Ciena Corporation (NASDAQ:CIEN), Paycom Software Inc (NYSE:PAYC), InterXion Holding NV (NYSE:INXN), and Nu Skin Enterprises, Inc. (NYSE:NUS). This group of stocks’ market valuations are closest to BXMT’s market valuation.

As you can see these stocks had an average of 26 hedge funds with bullish positions and the average amount invested in these stocks was $387 million. That figure was $274 million in BXMT’s case. InterXion Holding NV (NYSE:INXN) is the most popular stock in this table. On the other hand Paycom Software Inc (NYSE:PAYC) is the least popular one with only 18 bullish hedge fund positions. Compared to these stocks Blackstone Mortgage Trust Inc (NYSE:BXMT) is even less popular than PAYC. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.

Disclosure: None