NiSource Inc. (NI): Are Hedge Funds Right About This Stock?

Consequently, key hedge funds have been driving this bullishness. Winton Capital Management, managed by David Harding, created the most outsized position in NiSource Inc. (NYSE:NI). According to its latest 13F filing, the fund had $5.5 million invested in the company at the end of the quarter. Jim Simons’ Renaissance Technologies also initiated a $3.6 million position during the quarter. The other funds with new positions in the stock are Glenn Russell Dubin’s Highbridge Capital Management, Matthew Tewksbury’s Stevens Capital Management, and Ben Levine, Andrew Manuel and Stefan Renold’s LMR Partners.

Let’s also examine hedge fund activity in other stocks similar to NiSource Inc. (NYSE:NI). These stocks are Sunoco Logistics Partners L.P. (NYSE:SXL), Cna Financial Corp (NYSE:CNA), Alleghany Corporation (NYSE:Y), and The Gap Inc. (NYSE:GPS). This group of stocks’ market valuations are similar to NI’s market valuation.

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 $223 million. That figure was $356 million in NI’s case. The Gap Inc. (NYSE:GPS) is the most popular stock in this table. On the other hand Sunoco Logistics Partners L.P. (NYSE:SXL) is the least popular one with only 10 bullish hedge fund positions. NiSource Inc. (NYSE:NI) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that more hedge funds are owners of. In this regard GPS might be a better candidate to consider taking a long position in.

Disclosure: None