Should You Buy Easterly Acquisition Corp (EACQ)?

As one would reasonably expect, key money managers have jumped into Easterly Acquisition Corp (NASDAQ:EACQ) headfirst. Some of the funds with new positions in the stock are Moore Global Investments, Arrowgrass Capital Partners, and Hutchin Hill Capital.

Let’s now review hedge fund activity in other stocks similar to Easterly Acquisition Corp (NASDAQ:EACQ). These stocks are Malibu Boats Inc (NASDAQ:MBUU), BioTime, Inc. (NYSEMKT:BTX), QuinStreet Inc (NASDAQ:QNST), and ChannelAdvisor Corp (NYSE:ECOM). All of these stocks’ market caps are similar to Easterly Acquisition Corp (NASDAQ:EACQ)’s market cap.

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 $45 million. That figure was $87 million in Easterly Acquisition Corp (NASDAQ:EACQ)’s case. QuinStreet Inc (NASDAQ:QNST) is the most popular stock in this table. On the other hand, ChannelAdvisor Corp (NYSE:ECOM) is the least popular one with only 7 bullish hedge fund positions. Easterly Acquisition Corp (NASDAQ:EACQ) 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 hedge funds are piling on. In this regard, QuinStreet Inc (NASDAQ:QNST) might be a better candidate to consider a long position.