Hedge Funds Aren’t Crazy About Cato Corp (CATO) Anymore

We already know that not all hedge funds are bullish on the stock and some hedge funds actually sold off their positions entirely. At the top of the heap, Israel Englander’s Millennium Management sold off the biggest position of all the hedgies followed by Insider Monkey, valued at an estimated $0.5 million in stock. Joshua Packwood and Schuster Tanger’s fund, Radix Partners, also sold off its stock, about $0.3 million worth of Cato Corp (NYSE:CATO) shares.

Let’s also examine hedge fund activity in other stocks similar to Cato Corp (NYSE:CATO). These stocks are Rofin-Sinar Technologies (NASDAQ:RSTI), Infinity Property and Casualty Corp. (NASDAQ:IPCC), AC Immune Ltd (NASDAQ:ACIU), and Archrock Inc (NYSE:AROC). All of these stocks’ market caps resemble CATO’s market cap.

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 $80 million. That figure was $82 million in CATO’s case. Archrock Inc (NYSE:AROC) is the most popular stock in this table. On the other hand Infinity Property and Casualty Corp. (NASDAQ:IPCC) is the least popular one with only 4 bullish hedge fund positions. Cato Corp (NYSE:CATO) 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 AROC might be a better candidate to consider taking a long position in.

Disclosure: None