Is Tractor Supply Company (TSCO) Going to Burn These Hedge Funds?

Due to the fact that Tractor Supply Company (NASDAQ:TSCO) has faced falling interest from the entirety of the hedge funds we track, logic holds that there lies a certain “tier” of money managers who sold off their entire stakes last quarter. Intriguingly, Principal Global Investors’s Columbus Circle Investors said goodbye to the biggest investment of the “upper crust” of funds monitored by Insider Monkey, valued at close to $48.3 million in stock. Anand Parekh’s fund, Alyeska Investment Group, also said goodbye to its stock, about $28 million worth of TSCO shares. These moves are important to note, as aggregate hedge fund interest fell by 4 funds last quarter.

Let’s now take a look at hedge fund activity in other stocks similar to Tractor Supply Company (NASDAQ:TSCO). We will take a look at Autodesk, Inc. (NASDAQ:ADSK), Host Hotels and Resorts Inc (NYSE:HST), Skyworks Solutions Inc (NASDAQ:SWKS), and Vodafone Group Plc (ADR) (NASDAQ:VOD). This group of stocks’ market values are closest to TSCO’s market value.

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 $1.42 billion. That figure was $475 million in TSCO’s case. Autodesk, Inc. (NASDAQ:ADSK) is the most popular stock in this table. On the other hand Host Hotels and Resorts Inc (NYSE:HST) is the least popular one with only 17 bullish hedge fund positions. Tractor Supply Company (NASDAQ:TSCO) 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 ADSK might be a better candidate to consider a long position.

Disclosure: none.