Is Mueller Water Products, Inc. (MWA) A Good Stock To Buy?

Because Mueller Water Products, Inc. (NYSE:MWA) has witnessed declining sentiment from hedge fund managers, it’s easy to see that there is a sect of funds who sold off their positions entirely last quarter. It’s worth mentioning that Dmitry Balyasny’s Balyasny Asset Management said goodbye to the biggest position of the 700 funds followed by Insider Monkey, worth close to $6.1 million in stock. Jerome Debs’s fund, Bodri Capital Management, also said goodbye to its stock, about $2.7 million worth. These moves are interesting, as aggregate hedge fund interest fell by 2 funds last quarter.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Mueller Water Products, Inc. (NYSE:MWA) but similarly valued. These stocks are Essendant Inc (NASDAQ:ESND), Chemical Financial Corporation (NASDAQ:CHFC), Power Integrations Inc (NASDAQ:POWI), and Trinseo S.A. (NYSE:TSE). This group of stocks’ market caps are similar to MWA’s market cap.

As you can see these stocks had an average of 13.75 hedge funds with bullish positions and the average amount invested in these stocks was $55 million. That figure was $119 million in MWA’s case. Essendant Inc (NASDAQ:ESND) is the most popular stock in this table. On the other hand Trinseo S.A. (NYSE:TSE) is the least popular one with only 12 bullish hedge fund positions. Compared to these stocks Mueller Water Products, Inc. (NYSE:MWA) 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.