Hedge Fund Sentiment Suggests These Stocks Trading in Red are Not Worth Your Attention

Shake Shack Inc (NYSE:SHAK)‘s stock has lost around 9% so far today, on a trading volume below average, which offset the gains registered at the end of last week. On Friday, Cowen and Company initiated coverage on the stock with a ‘Market Perform’ rating and a target of $42.00. However, hedge funds from our database are not so thrilled about the prospects of Shake Shack Inc (NYSE:SHAK) and even though the number of investors bullish on the company went up to eight from six and the total value of their holdings surged to $18.63 million from $8.19 million, they own less than 1% of the company’s outstanding stock. Among these investors, Israel Englander‘s Millennium Management initiated a position in Shake Shack Inc (NYSE:SHAK) during the second quarter, which contained 53,100 shares at the end of June.

Finally, there is Sibanye Gold Ltd (ADR) (NYSE:SBGL), a South Africa-based producer of gold. Its stock has lost over 11% on a volume of 1.83 million shares, above average of 1.50 million. Last week, the company agreed to pay more than $300 million on three platinum mines acquired from Anglo American Platinum Ltd. Earlier today, JPMorgan Chase & Co. upgraded Sibanye Gold Ltd (ADR) (NYSE:SBGL) to ‘Overweight’ from ‘Underweight’. Among the funds from our database, nine reported holding $27.51 million worth of Sibanye Gold Ltd (ADR) (NYSE:SBGL)’s stock, down from $37.88 million in shares held by six funds at the end of March. The aggregate value of these funds’ holdings amassed around 2% of the company at the end of June, while the largest stake was held by John Burbank‘s Passport Capital, which reported ownership of 1.77 million shares in its latest 13F filing.

Disclosure: none