Is B/E Aerospace Inc (NASDAQ:BEAV) Going to Burn These Hedge Funds?

Seeing as B/E Aerospace Inc (NASDAQ:BEAV) has witnessed bearish sentiment from the smart money, logic holds that there exists a select few funds that slashed their positions entirely heading into Q4. At the top of the heap, Matthew Mark’s Jet Capital Investors dumped the largest position of all the hedgies watched by Insider Monkey, totaling an estimated $76.3 million in stock. James Dinan’s fund, York Capital Management, also cut its stock, about $72.7 million worth. These bearish behaviors are important to note, as total hedge fund interest dropped by 4 funds heading into Q4.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as B/E Aerospace Inc (NASDAQ:BEAV) but similarly valued. These stocks are Health Net, Inc. (NYSE:HNT), Jacobs Engineering Group Inc (NYSE:JEC), Aluminum Corp. of China Limited (ADR) (NYSE:ACH), and CubeSmart (NYSE:CUBE). This group of stocks’ market valuations are closest to BEAV’s market valuation.

As you can see these stocks had an average of 22 hedge funds with bullish positions and the average amount invested in these stocks was $376 million. That figure was $1.70 billion in BEAV’s case. Health Net, Inc. (NYSE:HNT) is the most popular stock in this table with 43 funds holding shares. On the other hand Aluminum Corp. of China Limited (ADR) (NYSE:ACH) is the least popular. Compared to these stocks B/E Aerospace Inc (NASDAQ:BEAV) 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 go long.