Is Integrated Device Technology Inc (IDTI) Going to Burn These Hedge Funds?

Seeing as Integrated Device Technology Inc (NASDAQ:IDTI) has experienced bearish sentiment from the smart money, logic holds that there were a few hedge funds who were dropping their entire stakes heading into Q4. It’s worth mentioning that Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital dropped the largest stake of the 700 funds followed by Insider Monkey, worth close to $11.9 million in stock. Israel Englander’s fund, Millennium Management, also sold off its stock, about $5.7 million worth of IDTI shares. These bearish behaviors are interesting, as aggregate hedge fund interest fell by 1 fund heading into Q4.

Let’s also examine hedge fund activity in other stocks similar to Integrated Device Technology Inc (NASDAQ:IDTI). These stocks are Medidata Solutions Inc (NASDAQ:MDSO), Penske Automotive Group, Inc. (NYSE:PAG), RLJ Lodging Trust (NYSE:RLJ), and MB Financial, Inc. (NASDAQ:MBFI). This group of stocks’ market valuations are closest to IDTI’s market valuation.

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 $91 million. That figure was an impressive $311 million in IDTI’s case. Medidata Solutions Inc (NASDAQ:MDSO) is the most popular stock in this table. On the other hand RLJ Lodging Trust (NYSE:RLJ) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks Integrated Device Technology Inc (NASDAQ:IDTI) 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.