Is Castle Brands Inc (ROX) A Good Stock To Buy According To Hedge Funds?

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Let’s now review hedge fund activity in other stocks similar to Castle Brands Inc (NYSEMKT:ROX). We will take a look at Westfield Financial, Inc. (NASDAQ:WFD), Radiant Logistics, Inc. (NYSEAMEX:RLGT), Aspen Aerogels Inc (NYSE:ASPN), and Cadiz Inc (NASDAQ:CDZI). This group of stocks’ market caps match ROX’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
WFD 4 24395 0
RLGT 7 9367 1
ASPN 4 8274 0
CDZI 3 12986 -3

As you can see these stocks had an average of 5 hedge funds with bullish positions and the average amount invested in these stocks was $14 million. That figure was $1 million in ROX’s case. Radiant Logistics, Inc. (NYSEAMEX:RLGT) is the most popular stock in this table. On the other hand Cadiz Inc (NASDAQ:CDZI) is the least popular one with only 3 bullish hedge fund positions. Castle Brands Inc (NYSEMKT:ROX) 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 RLGT might be a better candidate to consider taking a long position in.

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