Hedge Funds Keep Selling Allstate Corp (ALL)

Due to the fact that Allstate Corp (NYSE:ALL) has witnessed a decline in interest from the aggregate hedge fund industry, it’s safe to say that there exists a select few fund managers who sold off their entire stakes last quarter. At the top of the heap, Michael Messner’s Seminole Capital (Investment Mgmt) sold off the largest investment of the “upper crust” of funds watched by Insider Monkey, valued at about $17.2 million in stock. Daniel Lascano’s fund, Lomas Capital Management, also dumped its stock, about $11.8 million worth. These bearish behaviors are intriguing to say the least, as total hedge fund interest was cut by 2 funds last quarter.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as The Allstate Corporation (NYSE:ALL) but similarly valued. We will take a look at Alexion Pharmaceuticals, Inc. (NASDAQ:ALXN), O’Reilly Automotive Inc (NASDAQ:ORLY), Applied Materials, Inc. (NASDAQ:AMAT), and Prologis Inc (NYSE:PLD). This group of stocks’ market values match ALL’s market value.

As you can see these stocks had an average of 39.5 hedge funds with bullish positions and the average amount invested in these stocks was $1.77 billion. That figure was $1.11 billion in ALL’s case. Applied Materials, Inc. (NASDAQ:AMAT) is the most popular stock in this table. On the other hand Prologis Inc (NYSE:PLD) is the least popular one with only 17 bullish hedge fund positions. Allstate Corp (NYSE:ALL) 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 AMAT might be a better candidate to consider for a long position in.

Disclosure: None