Is Sinclair Broadcast Group Inc. (SBGI) A Good Stock To Buy?

Judging by the fact that Sinclair Broadcast Group Inc. (NASDAQ:SBGI) has experienced bearish sentiment from hedge fund managers, logic holds that there were a few money managers who sold off their positions entirely by the end of the third quarter. At the top of the heap, Francis Cueto’s Asturias Capital dropped the largest stake of the 700 funds watched by Insider Monkey, totaling close to $21.2 million in call options. Buckley Ratchford’s fund, Wingspan Investment Management, also sold off its call options, about $7.9 million worth. These moves are intriguing to say the least, as total hedge fund interest was cut by 1 fund by the end of the third quarter.

Let’s go over hedge fund activity in other stocks similar to Sinclair Broadcast Group Inc. (NASDAQ:SBGI). These stocks are Nabors Industries Ltd. (NYSE:NBR), Avista Corp (NYSE:AVA), China Biologic Products Inc (NASDAQ:CBPO), and Molina Healthcare, Inc. (NYSE:MOH). All of these stocks’ market caps match SBGI’s market cap.

As you can see these stocks had an average of 24 hedge funds with bullish positions and the average amount invested in these stocks was $301 million. That figure was $347 million in SBGI’s case. Nabors Industries Ltd. (NYSE:NBR) is the most popular stock in this table. On the other hand Avista Corp (NYSE:AVA) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks Sinclair Broadcast Group Inc. (NASDAQ:SBGI) 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.

Disclosure: None