Hedge Funds Are Buying AT&T Inc. (T)

As one would reasonably expect, specific money managers have jumped into AT&T Inc. (NYSE:T) headfirst. John Overdeck and David Siegel’s Two Sigma Advisors made a $118.9 million investment in the stock during the quarter. The following funds were also among the new AT&T Inc. (NYSE:T) investors: Dmitry Balyasny’s Balyasny Asset Management, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital, and Jonathon Jacobson’s Highfields Capital Management.

Let’s also examine hedge fund activity in other stocks similar to AT&T Inc. (NYSE:T). These stocks are The Procter & Gamble Company (NYSE:PG), Pfizer Inc. (NYSE:PFE), Toyota Motor Corporation (ADR) (NYSE:TM), and Verizon Communications Inc. (NYSE:VZ). This group of stocks’ market valuations resembles AT&T Inc. (NYSE:T)’s market valuation.

As you can see, these stocks had an average of 57 hedge funds with bullish positions and the average amount invested in these stocks was $4.48 billion. That figure was $3.76 billion in AT&T Inc. (NYSE:T)’s case. Pfizer Inc. (NYSE:PFE) is the most popular stock in this table. On the other hand, Toyota Motor Corporation (ADR) (NYSE:TM) is the least popular one with only 13 bullish hedge fund positions. AT&T Inc. (NYSE:T) 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, Pfizer Inc. (NYSE:PFE) might be a better candidate to consider a long position.