Is MRC Global Inc (MRC) A Good Stock To Buy?

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Judging by the fact that MRC Global Inc (NYSE:MRC) has faced declining sentiment from the entirety of the hedge funds we track, we can see that there exists a select few money managers that elected to cut their positions entirely by the end of the third quarter. At the top of the heap, Orlando Muyshondt’s Tyrian Investments cut the largest investment of the 700 funds watched by Insider Monkey, valued at close to $21.3 million in stock. John Overdeck and David Siegel’s fund, Two Sigma Advisors, also cut its investment, dropping about $12.5 million worth of shares. These moves are intriguing to say the least, as aggregate hedge fund interest dropped by 3 funds by the end of the third quarter.

Let’s check out hedge fund activity in other stocks similar to MRC Global Inc (NYSE:MRC). These stocks are AVG Technologies NV (NYSE:AVG), Acorda Therapeutics Inc (NASDAQ:ACOR), CYS Investments Inc (NYSE:CYS), and Government Properties Income Trust (NYSE:GOV). This group of stocks’ market values are similar to MRC’s market value.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
AVG 20 92654 -2
ACOR 17 203130 1
CYS 8 5038 0
GOV 6 59473 0

As you can see these stocks had an average of 13 hedge funds with bullish positions and the average amount invested in these stocks was $90 million. In the mean time, top hedge funds have invested $332 million in MRC, more than in any other stock from this group. AVG Technologies NV (NYSE:AVG) is the most popular stock in this table, while Government Properties Income Trust (NYSE:GOV) is the least popular one with only 6 bullish hedge fund positions. Compared to these stocks MRC Global Inc (NYSE:MRC) 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.

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