Here is What Hedge Funds Think About Carriage Services, Inc. (CSV)

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We view hedge fund activity in the stock unfavorable, but in this case there was only a single hedge fund selling its entire position: Stevens Capital Management. One hedge fund selling its entire position doesn’t always imply a bearish intent. Theoretically a hedge fund may decide to sell a promising position in order to invest the proceeds in a more promising idea. However, we don’t think this is the case in this case because only one of the 800+ hedge funds tracked by Insider Monkey identified as a viable investment and initiated a position in the stock (that fund was Magnetar Capital).

Let’s check out hedge fund activity in other stocks similar to Carriage Services, Inc. (NYSE:CSV). We will take a look at Financial Institutions, Inc. (NASDAQ:FISI), Capital Product Partners L.P. (NASDAQ:CPLP), SurModics, Inc. (NASDAQ:SRDX), and Boingo Wireless Inc (NASDAQ:WIFI). This group of stocks’ market valuations are similar to CSV’s market valuation.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
FISI 5 8111 0
CPLP 4 5498 0
SRDX 14 69640 0
WIFI 15 65884 -1

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 $37 million. That figure was $21 million in CSV’s case. Boingo Wireless Inc (NASDAQ:WIFI) is the most popular stock in this table. On the other hand Capital Product Partners L.P. (NASDAQ:CPLP) is the least popular one with only 4 bullish hedge fund positions. Carriage Services, Inc. (NYSE:CSV) is not the least popular stock in this group but hedge fund interest is just 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 WIFI might be a better candidate to consider taking a long position in.

Disclosure: None


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