Hedge Funds Don’t Know What to Make of Caesars Entertainment Corp (CZR)

Seeing as Caesars Entertainment Corp (NASDAQ:CZR) has witnessed flat sentiment from hedge fund managers, it’s safe to say that there was a specific group of money managers that elected to cut their full holdings by the end of the third quarter. At the top of the heap, Frank Brosens’ Taconic Capital said goodbye to the biggest stake of the “upper crust” of funds tracked by Insider Monkey, totaling about $0.7 million in stock, and Paul Tudor Jones’ Tudor Investment Corp was right behind this move, as the fund said goodbye to about $0.2 million worth of shares. These transactions are interesting, as aggregate hedge fund interest stayed the same (this is a bearish signal in our experience).

Let’s also examine hedge fund activity in other stocks similar to Caesars Entertainment Corp (NASDAQ:CZR). These stocks are Golar LNG Partners LP (NASDAQ:GMLP), DeVry Inc. (NYSE:DV), TowneBank (NASDAQ:TOWN), and Clearwater Paper Corp (NYSE:CLW). This group of stocks’ market caps resemble CZR’s market cap.

As you can see these stocks had an average of 14.5 hedge funds with bullish positions and the average amount invested in these stocks was $157 million. That figure was $328 million in CZR’s case. DeVry Inc. (NYSE:DV) is the most popular stock in this table. On the other hand Golar LNG Partners LP (NASDAQ:GMLP) is the least popular one with only 8 bullish hedge fund positions. Caesars Entertainment Corp (NASDAQ:CZR) 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 DV might be a better candidate to consider a long position in.

Disclosure: None