Should You Buy FairPoint Communications Inc (FRP)?

Consequently, key hedge funds were breaking ground themselves. Citadel Investment Group, managed by Ken Griffin, initiated the biggest position in FairPoint Communications Inc (NASDAQ:FRP). Citadel Investment Group had $1.1 million invested in the company at the end of the quarter. Israel Englander’s Millennium Management also made a $0.9 million investment in the stock during the quarter. The following funds were also among the new FRP investors: Chao Ku’s Nine Chapters Capital Management, Glenn Russell Dubin’s Highbridge Capital Management, and Matthew Hulsizer’s PEAK6 Capital Management.

Let’s go over hedge fund activity in other stocks similar to FairPoint Communications Inc (NASDAQ:FRP). These stocks are Koppers Holdings Inc. (NYSE:KOP), El Pollo LoCo Holdings Inc (NASDAQ:LOCO), Metro Bancorp Inc (NASDAQ:METR), and Concert Pharmaceuticals Inc (NASDAQ:CNCE). This group of stocks’ market values are similar to FRP’s market value.

As you can see these stocks had an average of 12.5 hedge funds with bullish positions and the average amount invested in these stocks was $48 million. That figure was $186 million in FRP’s case. Koppers Holdings Inc. (NYSE:KOP) is the most popular stock in this table. On the other hand El Pollo LoCo Holdings Inc (NASDAQ:LOCO) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks FairPoint Communications Inc (NASDAQ:FRP) 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.