Is Air Methods Corp (AIRM) a Good Stock to Invest In?

With a general bullishness amongst the heavyweights, key money managers were leading the bulls’ herd. SG Capital Management assembled the most outsized position in Air Methods Corp (NASDAQ:AIRM) which had $7.8 million invested in the company at the end of the quarter. Wayne Cooperman’s Cobalt Capital Management also made a $6 million investment in the stock during the quarter. The other funds with new positions in the stock are Richard McGuire’s Marcato Capital Management and John Petry’s Sessa Capital.

Let’s also examine hedge fund activity in other stocks similar to Air Methods Corp (NASDAQ:AIRM). These stocks are Coca-Cola Bottling Co. Consolidated (NASDAQ:COKE), Fossil Inc (NASDAQ:FOSL), Seaspan Corporation (NYSE:SSW), and Community Health Systems (NYSE:CYH). All of these stocks’ market caps are similar to AIRM’s market cap.

As you can see these stocks had an average of 15 investors with bullish positions and the average amount invested in these stocks was $108 million. That figure was $103 million in AIRM’s case. Community Health Systems (NYSE:CYH) is the most popular stock in this table. On the other hand Coca-Cola Bottling Co. Consolidated (NASDAQ:COKE) is the least popular one with only three bullish hedge fund positions. Air Methods Corp (NASDAQ:AIRM) 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 Community Health Systems (NYSE:CYH) might be a better candidate to consider taking a long position in.

Disclosure: None