Do Hedge Funds Love Trecora Resources (TREC)?

Now, key money managers were breaking ground themselves. Millennium Management, managed by Israel Englander, created the largest position in Trecora Resources (NYSE:TREC). Millennium Management had $0.3 million invested in the company at the end of the quarter.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Trecora Resources (NYSE:TREC) but similarly valued. These stocks are AV Homes Inc (NASDAQ:AVHI), Heritage Commerce Corp. (NASDAQ:HTBK), Gladstone Commercial Corporation (NASDAQ:GOOD), and Green Bancorp Inc (NASDAQ:GNBC). This group of stocks’ market caps match TREC’s market cap.

As you can see these stocks had an average of 7.75 hedge funds with bullish positions and the average amount invested in these stocks was $18 million. That figure was $11 million in TREC’s case. AV Homes Inc (NASDAQ:AVHI) is the most popular stock in this table. On the other hand Gladstone Commercial Corporation (NASDAQ:GOOD) is the least popular one with only 7 bullish hedge fund positions. Compared to these stocks Trecora Resources (NYSE:TREC) is as less popular as GOOD. 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.