Is Tucows Inc. (USA) (TCX) Going to Burn These Hedge Funds?

As industrywide interest jumped, key money managers were breaking ground themselves. Hutchin Hill Capital, managed by Neil Chriss, established the most outsized position in Tucows Inc. (USA) (NYSEAMEX:TCX). Hutchin Hill Capital had $0.7 million invested in the company at the end of the quarter. Israel Englander’s Millennium Management also initiated an $0.5 million position during the quarter. The other funds with brand new TCX positions are Matthew Hulsizer’s PEAK6 Capital Management, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital, and Ken Griffin’s Citadel Investment Group.

Let’s also examine hedge fund activity in other stocks similar to Tucows Inc. (USA) (NASDAQ:TCX). These stocks are Westmoreland Coal Company (NASDAQ:WLB), Territorial Bancorp Inc (NASDAQ:TBNK), Armada Hoffler Properties Inc (NYSE:AHH), and CIBER, Inc. (NYSE:CBR). This group of stocks’ market values is similar to Tucows Inc. (USA) (NASDAQ:TCX)’s market value.

As you can see, these stocks had an average of 12 hedge funds with bullish positions and the average amount invested in these stocks was $41 million. That figure was $41 million in Tucows Inc. (USA) (NASDAQ:TCX)’s case. Westmoreland Coal Company (NASDAQ:WLB) is the most popular stock in this table. On the other hand, Territorial Bancorp Inc (NASDAQ:TBNK) is the least popular one with only 8 bullish hedge fund positions. Tucows Inc. (USA) (NASDAQ:TCX) 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, Westmoreland Coal Company (NASDAQ:WLB) might be a better candidate to consider a long position.