What Do Hedge Funds Think About Water Stocks Amid Increasing Concerns Over Water Scarcity?

#4. Middlesex Water Company (NASDAQ:MSEX)

– Investors with long positions as of March 31: 8

– Aggregate value of investors’ holdings as of March 31: $17.44 Million

Middlesex Water Company (NASDAQ:MSEX) has received some love from the hedge funds monitored by our team, as the number of funds with stakes in the company increased to eight from six during the first quarter. Similarly, the dollar value of those stakes grew by 49% sequentially to $17.44 million, partly because of a 16% price appreciation of Middlesex Water shares. The shares of the water utility have gained 61% since the beginning of the year. In late April, Middlesex Water’s boardroom approved a quarterly dividend of nearly $0.20 per share, which offers shareholders an annual dividend yield of 1.87%. Meanwhile, the company’s top line for the first three months of 2016 increased by $1.8 million to $30.6 million, mainly due to rate increases and higher water demand. Jim Simons’ Renaissance Technologies LLC upped its position in Middlesex Water Company (NASDAQ:MSEX) by 16% during the first quarter to 347,200 shares.

#3. California Water Service Group (NYSE:CWT)

– Investors with long positions as of March 31: 8

– Aggregate value of investors’ holdings as of March 31: $65.12 Million

California Water Service Group (NYSE:CWT) has lost some appeal among the asset managers followed by our team given that the number of managers with equity investments in the company fell to eight from nine during the January-to-March period. Meanwhile, the aggregate value of those investments decreased to $65.12 million from $65.42 million quarter-over-quarter even though the shares of California Water Service gained 16% during the quarter. The eight managers invested in the company accumulated 5% of its outstanding common stock. The holding company that provides water utility and related services in California, Washington, New Mexico and Hawaii has seen its market capitalization jump by 48% since the start of 2016. California Water Service Group paid a dividend $0.1725 per share for the first quarter, up from $0.1675 paid for the same period of the prior year. The first-quarter dividend marked the company’s 284^th consecutive quarterly dividend. Ian Simm’s Impax Asset Management reported owning 1.81 million shares of California Water Service Group (NYSE:CWT) in its latest 13F.