Family Dollar Stores, Inc. (FDO) Posts 3Q 2015 Earnings Miss; What You Need To Know

How are hedge funds trading Family Dollar Stores, Inc. (NYSE:FDO)?

According to Insider Monkey’s database, Paul Singer‘s Elliott Management had the largest position in Family Dollar Stores, Inc. (NYSE:FDO), with 8.2 million shares worth close to $652.7 million, comprising 8% of its total 13F portfolio. The second-largest stake was held by Pentwater Capital Management, managed by Matthew Halbower, which held a $406.9 million position; 3% of its 13F portfolio was allocated towards the company. Remaining hedge funds with similar optimism contain Joshua Friedman and Mitchell Julis‘ Canyon Capital Advisors, John Orrico’s Water Island Capital, and Carl Tiedemann and Michael Tiedemann’s TIG Advisors.

Many hedge funds said goodbye to this stock in the first quarter, or almost goodbye, with Nelson Peltz‘s Trian Partners selling around 8.36 million shares during the first three months, leaving it with a minuscule 3,679 shares at the end of March.  Among the hedge funds who sold out of their entire stakes were Jonathon Jacobson’s Highfields Capital Management, which sold around 2.7 million shares, and James Dinan of York Capital Management, who was right behind this move after his fund sold off about 2.6 million shares.

Chances are if you’re not invested in Family Dollar and awaiting the merger with Dollar Tree, Inc. (NASDAQ:DLTR) already, you don’t have an interest in doing so, and nothing in the earnings report should change your mind (as it won’t change the purchase price paid to shareholders should the deal be completed). Therefore we have no reason to recommend buying or selling Family Dollar shares at this time.

Disclosure