Do Hedge Funds Love J Alexander’s Holdings Inc (JAX)?

With a general bullishness amongst the heavyweights, key hedge funds were leading the bulls’ herd. Eminence Capital, managed by Ricky Sandler, initiated the biggest position in J Alexander’s Holdings Inc (NYSE:JAX). Eminence Capital had $12.4 million invested in the company at the end of the quarter. Jonathon Jacobson’s Highfields Capital Management also made a $7.6 million investment in the stock during the quarter. The other funds with new positions in the stock are Leon Lowenstein’s Lionstone Capital Management, D E Shaw, and James Dondero’s Highland Capital Management.

Let’s now take a look at hedge fund activity in other stocks similar to J Alexander’s Holdings Inc (NYSE:JAX). These stocks are Harmony Merger Corp (NASDAQ:HRMNU), Resource America Inc (NASDAQ:REXI), EVINE Live Inc (NASDAQ:EVLV), and Perion Network Ltd (NASDAQ:PERI). This group of stocks’ market values match JAX’s market value.

As you can see these stocks had an average of 8.75 hedge funds with bullish positions and the average amount invested in these stocks was $22 million. That figure was $32 million in JAX’s case. EVINE Live Inc (NASDAQ:EVLV) is the most popular stock in this table. On the other hand Harmony Merger Corp (NASDAQ:HRMNU) is the least popular one with only 6 bullish hedge fund positions. Compared to these stocks J Alexander’s Holdings Inc (NYSE:JAX) 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.