Do Hedge Funds Love Control4 Corp (CTRL)?

Judging by the fact that Control4 Corp (NASDAQ:CTRL) has faced falling interest from hedge fund managers, logic holds that there was a specific group of money managers that elected to cut their full holdings by the end of the third quarter. Intriguingly, David S. Winter and David J. Millstone’s 40 North Management sold off the biggest investment of all the hedgies watched by Insider Monkey, totaling about $0.9 million in stock, and D E Shaw was right behind this move, as the fund dumped about $0.2 million worth. These moves are important to note, as aggregate hedge fund interest fell by 1 funds by the end of the third quarter.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Control4 Corp (NASDAQ:CTRL) but similarly valued. We will take a look at Mattersight Corporation (NASDAQ:MATR), Alliance One International, Inc. (NYSE:AOI), Great Ajax Corp (NYSE:AJX), and Marlin Business Services Corp. (NASDAQ:MRLN). This group of stocks’ market values resemble CTRL’s market value.

As you can see these stocks had an average of 6.5 hedge funds with bullish positions and the average amount invested in these stocks was $32 million. That figure was $25 million in CTRL’s case. Alliance One International, Inc. (NYSE:AOI) is the most popular stock in this table. On the other hand Mattersight Corporation (NASDAQ:MATR) is the least popular one with only 5 bullish hedge fund positions. Control4 Corp (NASDAQ:CTRL) 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 AOI might be a better candidate to consider a long position.