Do Hedge Funds Love Signature Bank (SBNY)?

Now, some big names have been driving this bullishness. Point72 Asset Management, managed by Steve Cohen, assembled the most outsized position in Signature Bank (NASDAQ:SBNY). Point72 Asset Management had $20.1 million invested in the company at the end of the quarter. Malcolm Fairbairn’s Ascend Capital also made a $16.7 million investment in the stock during the quarter. The following funds were also among the new SBNY investors: Glenn Russell Dubin’s Highbridge Capital Management, and Paul Marshall and Ian Wace’s Marshall Wace LLP.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Signature Bank (NASDAQ:SBNY) but similarly valued. We will take a look at Allegion PLC (NYSE:ALLE), Mallinckrodt PLC (NYSE:MNK), CDW Corp (NASDAQ:CDW), and RPM International Inc. (NYSE:RPM). This group of stocks’ market caps match SBNY’s market cap.

As you can see these stocks had an average of 29 hedge funds with bullish positions and the average amount invested in these stocks was $689 million. That figure was $456 million in SBNY’s case. Allegion PLC (NYSE:ALLE) is the most popular stock in this table. On the other hand CDW Corp (NASDAQ:CDW) is the least popular one with only 21 bullish hedge fund positions. Signature Bank (NASDAQ:SBNY) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard ALLE might be a better candidate to consider a long position.

Disclosure: None