Here is What Hedge Funds Think About Sibanye Gold Ltd (ADR) (SBGL)

Judging by the fact that Sibanye Gold Ltd (ADR) (NYSE:SBGL) has experienced a falling interest from hedge fund managers, logic holds that there were a few fund managers that slashed their entire stakes by the end of the third quarter. Interestingly, John Burbank’s Passport Capital dropped the largest stake of the 700 funds followed by Insider Monkey, comprising an estimated $11.4 million in stock. Kurt Billick’s fund, Bocage Capital, also cut its stock, about $0.8 million worth of shares. These moves are important to note, as total hedge fund interest dropped by 1 funds by the end of the third quarter.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Sibanye Gold Ltd (ADR) (NYSE:SBGL) but similarly valued. We will take a look at Renren Inc (NYSE:RENN), TerraForm Global Inc (NASDAQ:GLBL), MiMedx Group Inc (NASDAQ:MDXG), and American Woodmark Corporation (NASDAQ:AMWD). This group of stock market caps resembles as Sibanye Gold Ltd (ADR) (NYSE:SBGL)’s market cap.

As you can see, these stocks had an average of 15 hedge funds with bullish positions and the average amount invested in these stocks was $97 million. That figure was $18 million in Sibanye Gold Ltd (ADR) (NYSE:SBGL)’s case. TerraForm Global Inc (NASDAQ:GLBL) is the most popular stock in this table. On the other hand, Renren Inc (NYSE:RENN) is the least popular one with only 6 bullish hedge fund positions. Sibanye Gold Ltd (ADR) (NYSE:SBGL) 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, TerraForm Global Inc (NASDAQ:GLBL) might be a better candidate to consider a long position.