G-III Apparel Group, Ltd. (GIII): Are Hedge Funds Right About This Stock?

We already know that not all institutional investors are bullish on the stock and some funds actually dumped their positions entirely. It’s worth mentioning that Chuck Royce’s Royce & Associates dumped the biggest stake of all the hedgies watched by Insider Monkey, comprising an estimated $32.5 million in stock, and Joel Greenblatt’s Gotham Asset Management was right behind this move, as the fund dumped about $9.7 million worth of shares.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as G-III Apparel Group, Ltd. (NASDAQ:GIII) but similarly valued. We will take a look at Caesarstone Sdot-Yam Ltd (NASDAQ:CSTE), CNOOC Limited (ADR) (NYSE:CEO), FirstCash Inc. (NYSE:FCFS), and Lakeland Financial Corporation (NASDAQ:LKFN). This group of stocks’ market values are closest to GIII’s market value.

As you can see these stocks had an average of 11 hedge funds with bullish positions and the average amount invested in these stocks was $95 million. That figure was $78 million in GIII’s case. FirstCash Inc. (NYSE:FCFS) is the most popular stock in this table. On the other hand Lakeland Financial Corporation (NASDAQ:LKFN) is the least popular one with only 8 bullish hedge fund positions. G-III Apparel Group, Ltd. (NASDAQ:GIII) 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 FCFS might be a better candidate to consider taking a long position in.

Disclosure: None