Is Royal Bank of Scotland Group PLC (RBS) A Good Stock To Buy?

Now, some big names have jumped into Royal Bank of Scotland Group plc (ADR) (NYSE:RBS) headfirst. Matthew Tewksbury’s Stevens Capital Management made a $0.3 million investment in the stock during the quarter. The following funds were also among the new RBS investors: Mike Vranos’ Ellington, Ken Griffin’s Citadel Investment Group, and David Costen Haley’s HBK Investments.

Let’s check out hedge fund activity in other stocks similar to Royal Bank of Scotland Group plc (ADR) (NYSE:RBS). We will take a look at Credit Suisse Group AG (ADR) (NYSE:CS), SYSCO Corporation (NYSE:SYY), Chunghwa Telecom Co., Ltd (ADR) (NYSE:CHT), and State Street Corporation (NYSE:STT). This group of stocks’ market values are closest to RBS’s market value.

As you can see these stocks had an average of 21 hedge funds with bullish positions and the average amount invested in these stocks was $1.11 billion. That figure was $21 million in RBS’s case. SYSCO Corporation (NYSE:SYY) is the most popular stock in this table. On the other hand Chunghwa Telecom Co., Ltd (ADR) (NYSE:CHT) is the least popular one with only 7 bullish hedge fund positions. Royal Bank of Scotland Group plc (ADR) (NYSE:RBS) 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 SYY might be a better candidate to consider taking a long position in.

Disclosure: None