Is Armada Hoffler Properties Inc (AHH) A Good Stock To Buy?

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Now that we’ve mentioned the most bullish investors, let’s also take a look at some funds that said goodbye to their entire stakes in the stock during the third quarter. Intriguingly, David Brown’s Hawk Ridge Management said goodbye to the largest stake of all the investors studied by Insider Monkey, comprising an estimated $0.9 million in stock. Richard Driehaus’ fund, Driehaus Capital, also dropped its stock, about $0.7 million worth.

Let’s now take a look at hedge fund activity in other stocks similar to Armada Hoffler Properties Inc (NYSE:AHH). We will take a look at Medifast, Inc. (NYSE:MED), Arrowhead Research Corp (NASDAQ:ARWR), Zumiez Inc. (NASDAQ:ZUMZ), and Peoples Bancorp Inc. (NASDAQ:PEBO). All of these stocks’ market caps resemble AHH’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
MED 15 88204 -1
ARWR 10 71494 5
ZUMZ 6 15097 1
PEBO 4 6404 1

As you can see these stocks had an average of 9 hedge funds with bullish positions and the average amount invested in these stocks was $45 million. That figure was $33 million in AHH’s case. Medifast, Inc. (NYSE:MED) is the most popular stock in this table. On the other hand Peoples Bancorp Inc. (NASDAQ:PEBO) is the least popular one with only 4 bullish hedge fund positions. Armada Hoffler Properties Inc (NYSE:AHH) 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 MED might be a better candidate to consider taking a long position in.

Disclosure: None

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