Should You Follow Hedge Funds Into Evertec Inc (EVTC)?

Consequently, key hedge funds have been driving this bullishness. Polaris Capital Management, managed by Bernard Horn, initiated the largest position in Evertec Inc (NYSE:EVTC). Polaris Capital Management had $1.5 million invested in the company at the end of the quarter. Brian Taylor’s Pine River Capital Management also made a $0.9 million investment in the stock during the quarter. The other funds with brand new EVTC positions are Glenn Russell Dubin’s Highbridge Capital Management, Paul Tudor Jones’ Tudor Investment Corp, and Peter Algert and Kevin Coldiron’s Algert Coldiron Investors.

Let’s check out hedge fund activity in other stocks similar to Evertec Inc (NYSE:EVTC). These stocks are Moelis & Co (NYSE:MC), Quad/Graphics, Inc. (NYSE:QUAD), Celestica Inc. (USA) (NYSE:CLS), and Nationstar Mortgage Holdings Inc (NYSE:NSM). This group of stocks’ market caps resemble EVTC’s market cap.

As you can see these stocks had an average of 13.75 hedge funds with bullish positions and the average amount invested in these stocks was $111 million. That figure was $257 million in EVTC’s case. Quad/Graphics, Inc. (NYSE:QUAD) is the most popular stock in this table. On the other hand Moelis & Co (NYSE:MC) is the least popular one with only 10 bullish hedge fund positions. Evertec Inc (NYSE:EVTC) is not the most popular stock in this group but hedge fund interest is still above average and it has more money invested in it that any of those stocks. This is a positive signal, as is the steady rise in hedge fund ownership, given that we’d rather spend our time researching stocks that hedge funds are piling on. In this regard EVTC might be a good candidate to consider a long position in.

Disclosure: None