Hedge Funds Aren’t Crazy About PC Tel Inc (PCTI) Anymore

Due to the fact that PC Tel Inc (NASDAQ:PCTI) has experienced a declining sentiment from the entirety of the hedge funds we track, it’s easy to see that there lies a certain “tier” of money managers that decided to sell off their positions entirely in the third quarter. Interestingly, Andy Redleaf’s Whitebox Advisors said goodbye to the biggest position of the 700 funds monitored by Insider Monkey, totaling about $0.5 million in stock, and Gavin Saitowitz and Cisco J. del Valle’s Springbok Capital was right behind this move, as the fund cut about $22,000 worth. These moves are intriguing to say the least, as aggregate hedge fund interest fell by 1 fund in the third quarter.

Let’s now review hedge fund activity in other stocks similar to PC Tel Inc (NASDAQ:PCTI). These stocks are Olympic Steel, Inc. (NASDAQ:ZEUS), Community Bankers Trust Corp. (NASDAQ:ESXB), Houston Wire & Cable Company (NASDAQ:HWCC), and Manning and Napier Inc (NYSE:MN). This group of stocks’ market caps resemble PC Tel Inc (NASDAQ:PCTI)’s market cap.

As you can see, these stocks had an average of 9 hedge funds with bullish positions and the average amount invested in these stocks was $19 million. That figure was $26 million in PC Tel Inc (NASDAQ:PCTI)’s case. Manning and Napier Inc (NYSE:MN) is the most popular stock in this table. On the other hand, Community Bankers Trust Corp. (NASDAQ:ESXB) is the least popular one with only 5 bullish hedge fund positions. PC Tel Inc (NASDAQ:PCTI) is not the least popular stock in this group, but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard, Manning and Napier Inc (NYSE:MN) might be a better candidate to consider a long position.