Is Corporate Office Properties Trust (OFC) Going to Burn These Hedge Funds?

Due to the fact that Corporate Office Properties Trust (NYSE:OFC) has faced a bearish sentiment from the smart money, logic holds that there exists a select few money managers that decided to sell off their positions entirely heading into Q4. At the top of the heap, Peter Muller’s PDT Partners dumped the biggest stake of the 700 funds tracked by Insider Monkey, worth an estimated $0.9 million in stock. Jacob Gottlieb’s fund, Visium Asset Management, also sold off its stock, about $0.2 million worth of shares. These moves are important to note, as aggregate hedge fund interest fell by 2 funds heading into Q4.

Let’s go over hedge fund activity in other stocks similar to Corporate Office Properties Trust (NYSE:OFC). These stocks are Glacier Bancorp, Inc. (NASDAQ:GBCI), Nord Anglia Education Inc (NYSE:NORD), Suburban Propane Partners LP (NYSE:SPH), and Kennametal Inc. (NYSE:KMT). This group of stocks’ market values resembles Corporate Office Properties Trust (NYSE:OFC)’s market value.

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 $199 million. That figure was $100 million in Corporate Office Properties Trust (NYSE:OFC)’s case. Kennametal Inc. (NYSE:KMT) is the most popular stock in this table. On the other hand, Suburban Propane Partners LP (NYSE:SPH) is the least popular one with only 6 bullish hedge fund positions. Corporate Office Properties Trust (NYSE:OFC) 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, Kennametal Inc. (NYSE:KMT) might be a better candidate to consider a long position.