Is Phibro Animal Health Corp (PAHC) A Good Stock To Buy?

Due to the fact that Phibro Animal Health Corp (NASDAQ:PAHC) has sustained a decline in interest from hedge fund managers, we can see that there exists a select few fund managers that slashed their full holdings last quarter. Interestingly, Paul Marshall and Ian Wace’s Marshall Wace LLP dumped the biggest investment of all the investors tracked by Insider Monkey, worth an estimated $0.9 million in stock. Gavin Saitowitz and Cisco J. del Valle’s fund, Springbok Capital, also said goodbye to its stock, about $0.3 million worth.

Let’s now review hedge fund activity in other stocks similar to Phibro Animal Health Corp (NASDAQ:PAHC). These stocks are Delek US Holdings, Inc. (NYSE:DK), Primoris Services Corp (NASDAQ:PRIM), Mpg Office Trust Inc (NYSE:MPG), and Atlas Air Worldwide Holdings, Inc. (NASDAQ:AAWW). This group of stocks’ market valuations resemble PAHC’s market valuation.

As you can see these stocks had an average of 11.5 hedge funds with bullish positions and the average amount invested in these stocks was $109 million. That figure was $17 million in PAHC’s case. Delek US Holdings, Inc. (NYSE:DK) is the most popular stock in this table. On the other hand Primoris Services Corp (NASDAQ:PRIM) is the least popular one with only 8 bullish hedge fund positions. Phibro Animal Health Corp (NASDAQ:PAHC) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard DK might be a better candidate to consider taking a long position in.