Is Ameriprise Financial, Inc. (AMP) A Good Stock To Buy?

Judging by the fact that Ameriprise Financial, Inc. (NYSE:AMP) has witnessed declining sentiment from the entirety of the hedge funds we track, logic holds that there were a few fund managers that slashed their entire stakes heading into Q4. It’s worth mentioning that Ken Heebner’s Capital Growth Management dropped the largest position of the 700 funds monitored by Insider Monkey, comprising an estimated $18.7 million in call options., and Wojciech Uzdelewicz’s Espalier Global Management was right behind this move, as the fund said goodbye to about $10.4 million worth. These transactions are intriguing to say the least, as aggregate hedge fund interest dropped by 5 funds heading into Q4.

Let’s now review hedge fund activity in other stocks similar to Ameriprise Financial, Inc. (NYSE:AMP). We will take a look at Cummins Inc. (NYSE:CMI), CBS Corporation (NYSE:CBS), Williams Partners L.P. (NYSE:WPZ), and Zimmer Biomet Holdings Inc (NYSE:ZBH). This group of stocks’ market values are similar to AMP’s market value.

As you can see these stocks had an average of 39 hedge funds with bullish positions and the average amount invested in these stocks was $1183 million. That figure was $1074 million in AMP’s case. CBS Corporation (NYSE:CBS) is the most popular stock in this table. On the other hand Williams Partners L.P. (NYSE:WPZ) is the least popular one with only 19 bullish hedge fund positions. Although Ameriprise Financial, Inc. (NYSE:AMP) is not the least popular stock in this group, it has not attracted much attention from investors. This may indicate it is not a good buying opportunity; therefore, we’d rather spend our time researching stocks that hedge funds are collectively most bullish on. In this regard, CBS might be a better alternative.