Is Andersons Inc (ANDE) A Good Stock To Buy?

With a general bullishness amongst the heavyweights, some big names have jumped into Andersons Inc (NASDAQ:ANDE) headfirst. Citadel Investment Group, led by Ken Griffin, assembled the most outsized position in Andersons Inc (NASDAQ:ANDE). According to its latest 13F filing, the fund had $1.6 million invested in the company at the end of the quarter. Jonathan Barrett and Paul Segal’s Luminus Management also initiated a $0.4 million position during the quarter. The following funds were also among the new ANDE investors: Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital and Mike Vranos’s Ellington.

Let’s check out hedge fund activity in other stocks similar to Andersons Inc (NASDAQ:ANDE). These stocks are Repligen Corporation (NASDAQ:RGEN), Royce Value Trust Inc (NYSE:RVT), Safety Insurance Group, Inc. (NASDAQ:SAFT), and Ixia (NASDAQ:XXIA). This group of stocks’ market valuations resemble ANDE’s market valuation.

As you can see these stocks had an average of 12 hedge funds with bullish positions and the average amount invested in these stocks was $48 million. That figure was $49 million in ANDE’s case. Ixia (NASDAQ:XXIA) is the most popular stock in this table. On the other hand Royce Value Trust Inc (NYSE:RVT) is the least popular one with only 5 bullish hedge fund positions. Andersons Inc (NASDAQ:ANDE) 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 XXIA might be a better candidate to consider taking a long position in.

Disclosure: none.