Is NTT Docomo Inc (ADR) (DCM) A Good Stock To Buy?

Since NTT Docomo Inc (ADR) (NYSE:DCM) has faced a decline in interest from hedge fund managers, logic holds that there was a specific group of hedgies who sold off their positions entirely by the end of the third quarter. Interestingly, Louis Navellier’s Navellier & Associates got rid of the largest investment of all the investors followed by Insider Monkey, comprising about $0.3 million in stock, and Joel Greenblatt’s Gotham Asset Management was right behind this move, as the fund cut about $0.2 million worth of shares.

Let’s go over hedge fund activity in other stocks similar to NTT Docomo Inc (ADR) (NYSE:DCM). We will take a look at CVS Caremark Corporation (NYSE:CVS), Nippon Telegraph & Telephone Corp (ADR) (NYSE:NTT), BHP Billiton Limited (ADR) (NYSE:BHP), and Royal Bank of Canada (USA) (NYSE:RY). All of these stocks’ market caps are similar to DCM’s market cap.

As you can see these stocks had an average of 26 hedge funds with bullish positions and the average amount invested in these stocks was $724 million. That figure was $92 million in DCM’s case. CVS Caremark Corporation (NYSE:CVS) is the most popular stock in this table. On the other hand Nippon Telegraph & Telephone Corp (ADR) (NYSE:NTT) is the least popular one with only 10 bullish hedge fund positions. Compared to these stocks NTT Docomo Inc (ADR) (NYSE:DCM) is even less popular than NTT. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock.

Disclosure: None