NCI Building Systems, Inc. (NCS): Are Hedge Funds Right About This Stock?

As aggregate interest increased, key hedge funds were breaking ground themselves. Ellington, managed by Mike Vranos, assembled the most outsized position in NCI Building Systems, Inc. (NYSE:NCS). Ellington had $0.7 million invested in the company at the end of the quarter. Glenn Russell Dubin’s Highbridge Capital Management also initiated a $0.7 million position during the quarter. The following funds were also among the new NCS investors: Neil Chriss’ Hutchin Hill Capital, Joel Greenblatt’s Gotham Asset Management, and Ken Brodkowitz and Mike Vermut’s Newland Capital.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as NCI Building Systems, Inc. (NYSE:NCS) but similarly valued. We will take a look at Net 1 UEPS Technologies Inc (NASDAQ:UEPS), Constant Contact Inc (NASDAQ:CTCT), Innophos Holdings, Inc. (NASDAQ:IPHS), and Saia Inc (NASDAQ:SAIA). This group of stocks’ market caps matches NCI Building Systems, Inc. (NYSE:NCS)’s market cap.

As you can see, these stocks had an average of 20 hedge funds with bullish positions and the average amount invested in these stocks was $152 million. That figure was $79 million in NCI Building Systems, Inc. (NYSE:NCS)’s case. Innophos Holdings, Inc. (NASDAQ:IPHS) is the most popular stock in this table. On the other hand, Constant Contact Inc (NASDAQ:CTCT) is the least popular one with only 17 bullish hedge fund positions. Compared to these stocks, NCI Building Systems, Inc. (NYSE:NCS) 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.