Is eHealth, Inc. (EHTH) A Good Stock To Buy?

Judging by the fact that eHealth, Inc. (NASDAQ:EHTH) has gone through declining sentiment from the entirety of the hedge funds we track, it’s safe to say that there was a specific group of fund managers who sold off their full holdings by the end of the third quarter. Interestingly, Jeremy Green’s Redmile Group dumped the biggest stake of the “upper crust” of funds monitored by Insider Monkey, comprising about $6 million in stock. Robert B. Gillam’s fund, McKinley Capital Management, also cut its stock, about $1.6 million worth.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as eHealth, Inc. (NASDAQ:EHTH) but similarly valued. We will take a look at MBT Financial Corp. (NASDAQ:MBTF), Home Bancorp, Inc. (NASDAQ:HBCP), Summit Financial Group, Inc. (NASDAQ:SMMF), and RadiSys Corporation (NASDAQ:RSYS). This group of stocks’ market valuations resemble EHTH’s market valuation.

As you can see these stocks had an average of 3 hedge funds with bullish positions and the average amount invested in these stocks was $16 million. That figure was $88 million in EHTH’s case. RadiSys Corporation (NASDAQ:RSYS) is the most popular stock in this table. On the other hand Home Bancorp, Inc. (NASDAQ:HBCP) is the least popular one with only 2 bullish hedge fund positions. Compared to these stocks eHealth, Inc. (NASDAQ:EHTH) 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