Is Easterly Acquisition Corp (EACQ) Going to Burn These Hedge Funds?

Due to the fact that Easterly Acquisition Corp (NASDAQ:EACQ) has faced a declining sentiment from the smart money, logic holds that there lies a certain “tier” of funds that slashed their entire stakes by the end of the third quarter. Interestingly, Ira Unschuld’s Brant Point Investment Management cashed in the largest position of the “upper crust” of funds monitored by Insider Monkey, worth close to $1.1 million in stock. Jamie Mendola’s fund, Pacific Grove Capital, also said goodbye to its stock, about $0.7 million worth.

Let’s check out hedge fund activity in other stocks similar to Easterly Acquisition Corp (NASDAQ:EACQ). These stocks are Hovnanian Enterprises, Inc. (NYSE:HOV), Trinity Place Holdings Inc. (NYSEMKT:TPHS), BankFinancial Corporation (NASDAQ:BFIN), and Capital City Bank Group, Inc. (NASDAQ:CCBG). This group of stocks’ market valuations match EACQ’s market valuation.

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 $27 million. That figure was $78 million in EACQ’s case. Hovnanian Enterprises, Inc. (NYSE:HOV) is the most popular stock in this table. On the other hand Capital City Bank Group, Inc. (NASDAQ:CCBG) is the least popular one with only 3 bullish hedge fund positions. Compared to these stocks Easterly Acquisition Corp (NASDAQ:EACQ) 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 include it in your portfolio.

Disclosure: None