Is Genesee & Wyoming Inc (GWR) A Good Stock To Buy?

Page 2 of 2

Since Genesee & Wyoming Inc (NYSE:GWR) has witnessed falling interest from the entirety of the hedge funds we track, it’s safe to say that there was a specific group of hedge funds that decided to sell off their full holdings in the third quarter. It’s worth mentioning that Alexander Mitchell’s Scopus Asset Management said goodbye to the biggest investment of the 700 funds tracked by Insider Monkey, valued at an estimated $29 million in stock, and Jim Simons’s Renaissance Technologies was right behind this move, as the fund cut about $27.7 million worth. These bearish behaviors are important to note, as aggregate hedge fund interest fell by 2 funds in the third quarter.

Let’s now take a look at hedge fund activity in other stocks similar to Genesee & Wyoming Inc (NYSE:GWR). These stocks are SLM Corp (NASDAQ:SLM), Equity One, Inc. (NYSE:EQY), Western Alliance Bancorporation (NYSE:WAL), and Silgan Holdings Inc. (NASDAQ:SLGN). All of these stocks’ market caps resemble GWR’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
SLM 20 161207 -6
EQY 17 115121 5
WAL 28 321611 2
SLGN 9 66198 -3

As you can see these stocks had an average of 19 hedge funds with bullish positions and the average amount invested in these stocks was $166 million. That figure was $287 million in GWR’s case. Western Alliance Bancorporation (NYSE:WAL) is the most popular stock in this table. On the other hand Silgan Holdings Inc. (NASDAQ:SLGN) is the least popular one with only 9 bullish hedge fund positions. Genesee & Wyoming Inc (NYSE:GWR) 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 WAL might be a better candidate to consider a long position.

Page 2 of 2