Do Hedge Funds Love United Microelectronics Corp (ADR) (UMC)?

Judging by the fact that United Microelectronics Corp (ADR) (NYSE:UMC) has witnessed a falling interest from the entirety of the hedge funds we track, it’s easy to see that there is a sect of funds who were dropping their full holdings by the end of the third quarter. At the top of the heap, Charles Clough’s Clough Capital Partners cut the biggest investment of the “upper crust” of funds tracked by Insider Monkey, worth about $0.3 million in stock, and David Costen Haley’s HBK Investments was right behind this move, as the fund cut about $0.1 million worth of shares. These moves are important to note, as total hedge fund interest was cut by 2 funds by the end of the third quarter.

Let’s check out hedge fund activity in other stocks similar to United Microelectronics Corp (ADR) (NYSE:UMC). These stocks are Compania Cervecerias Unidas S.A. (ADR) (NYSE:CCU), Biomed Realty Trust Inc (NYSE:BMR), American Campus Communities, Inc. (NYSE:ACC), and AGCO Corporation (NYSE:AGCO). This group of stocks’ market values matches United Microelectronics Corp (ADR) (NYSE:UMC)’s market value.

As you can see, these stocks had an average of 16 hedge funds with bullish positions and the average amount invested in these stocks was $269 million. That figure was $19 million in United Microelectronics Corp (ADR) (NYSE:UMC)’s case. AGCO Corporation (NYSE:AGCO) is the most popular stock in this table. On the other hand, Compania Cervecerias Unidas S.A. (ADR) (NYSE:CCU) is the least popular one with only an 8 bullish hedge fund positions. United Microelectronics Corp (ADR) (NYSE:UMC) 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, AGCO Corporation (NYSE:AGCO) might be a better candidate to consider a long position.