Is American Airlines Group Inc (AAL) The Right Pick For Your Portfolio?

Judging by the fact that American Airlines Group Inc (NASDAQ:AAL) has experienced declining sentiment from hedge fund managers, we can see that there is a sect of hedge funds that decided to sell off their entire stakes in the third quarter. It’s worth mentioning that Ken Griffin’s Citadel Investment Group dumped the largest investment of the “upper crust” of funds tracked by Insider Monkey, totaling an estimated $61.8 million in call options. Arrowstreet Capital and Wexford Capital also sold out of AAL though their positions were slightly less than $10 million in size.

Let’s now review hedge fund activity in other stocks similar to American Airlines Group Inc (NASDAQ:AAL). These stocks are Energy Transfer Partners LP (NYSE:ETP), Coca-Cola Enterprises Inc (NYSE:CCE), Nielsen Hldg NV (NYSE:NLSN), and Vornado Realty Trust (NYSE:VNO). This group of stocks’ market values are closest to AAL’s market value.

As you can see these stocks had an average of 26 hedge funds with bullish positions and the average amount invested in these stocks was $659 million. That figure was $2.03 billion in AAL’s case. Coca-Cola Enterprises Inc (NYSE:CCE) is the most popular stock in this table. On the other hand Energy Transfer Partners LP (NYSE:ETP) is the least popular one with only 22 bullish hedge fund positions. Compared to these stocks American Airlines Group Inc (NASDAQ:AAL) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None