Jack in the Box Inc. (JACK) Shares Springing Up On Plans to Raise Franchise Mix

With general bullishness amongst the heavyweights, specific money managers were breaking ground in Q1. Suvretta Capital Management assembled the largest position in Jack in the Box Inc. (NASDAQ:JACK), having $30.7 million invested in the company at the end of the quarter. Melvin Capital Management also initiated a $24 million position during the quarter. The other funds with new positions in the stock are Steve Cohen’s Point72 Asset Management, Neil Chriss’ Hutchin Hill Capital, and Sheetal Duggal’s Thrax Management.

Let’s also examine hedge fund activity in other stocks similar to Jack in the Box Inc. (NASDAQ:JACK). These stocks are Proofpoint Inc (NASDAQ:PFPT), The Medicines Company (NASDAQ:MDCO), LPL Financial Holdings Inc (NASDAQ:LPLA), and NorthStar Asset Management Group Inc (NYSE:NSAM). This group of stocks’ market values match JACK’s market value.

As you can see these stocks had an average of 30 hedge funds with bullish positions and the average amount invested in these stocks was $669 million. That figure was $268 million in JACK’s case. NorthStar Asset Management Group Inc (NYSE:NSAM) is the most popular stock in this table. On the other hand LPL Financial Holdings Inc (NASDAQ:LPLA) is the least popular one with only 21 bullish hedge fund positions. Jack in the Box Inc. (NASDAQ:JACK) 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 NSAM might be a better candidate to consider a long position.

Disclosure: None