Do Hedge Funds Love AMEC Foster Wheeler PLC (AMFW)?

As industrywide interest jumped, key money managers have jumped into AMEC Foster Wheeler PLC (NYSE:AMFW) headfirst. Millennium Management assembled the most valuable position in AMEC Foster Wheeler PLC (NYSE:AMFW). Millennium Management had $0.1 million invested in the company at the end of the quarter.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as AMEC Foster Wheeler PLC (NYSE:AMFW) but similarly valued. We will take a look at Fossil Inc (NASDAQ:FOSL), Communications Sales & Leasing Inc (NASDAQ:CSAL), Central Fund of Canada Limited (USA) (NYSEMKT:CEF), and Verint Systems Inc. (NASDAQ:VRNT). This group of stocks’ market values match AMFW’s market value.

As you can see these stocks had an average of 21 hedge funds with bullish positions and the average amount invested in these stocks was $235 million. That figure was $63 million in AMFW’s case. Verint Systems Inc. (NASDAQ:VRNT) is the most popular stock in this table. On the other hand Central Fund of Canada Limited (USA) (NYSEMKT:CEF) is the least popular one with only 4 bullish hedge fund positions. AMEC Foster Wheeler PLC (NYSE:AMFW) 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 VRNT might be a better candidate to consider a long position.