Is Enbridge Inc (USA) (ENB) vs. Tesla (TSLA): Which Do Hedge Funds Like More?

Due to the fact that Enbridge Inc (USA) (NYSE:ENB) has experienced a declining sentiment from hedge fund managers, it’s safe to say that there lies a certain “tier” of hedge funds who sold off their positions entirely last quarter. Intriguingly, Phill Gross and Robert Atchinson’s Adage Capital Management cut the biggest investment of all the hedgies watched by Insider Monkey, valued at an estimated $110 million in stock. Alec Litowitz and Ross Laser’s fund, Magnetar Capital, also cut its stock, about $94.2 million worth. These bearish behaviors are important to note, as total hedge fund interest dropped by 2 funds last quarter.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Enbridge Inc (USA) (NYSE:ENB) but similarly valued. We will take a look at Canon Inc. (ADR) (NYSE:CAJ), Precision Castparts Corp. (NYSE:PCP), Tesla Motors Inc (NASDAQ:TSLA), and CME Group Inc (NASDAQ:CME). All of these stocks’ market caps match ENB’s market cap.

As you can see these stocks had an average of 36 hedge funds with bullish positions and the average amount invested in these stocks was $2.12 billion. That figure was $340 million in ENB’s case. Precision Castparts Corp. (NYSE:PCP) is the most popular stock in this table. On the other hand Canon Inc. (ADR) (NYSE:CAJ) is the least popular one with only 9 bullish hedge fund positions. Enbridge Inc (USA) (NYSE:ENB) is not the least popular stock in this group, but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard PCP might be a better candidate to consider a long position.