What Hedge Funds Think about Level 3 Communications, Inc. (LVLT)?

Now, specific money managers have jumped into Level 3 Communications, Inc. (NYSE:LVLT) headfirst. Carlson Capital, led by Clint Carlson, established the biggest position in Level 3 Communications, Inc. (NYSE:LVLT). Carlson Capital had $14.5 million invested in the company at the end of the quarter. Jeffrey Bronchick’s Cove Street Capital also made a $7.3 million investment in the stock during the quarter. The following funds were also among the new LVLT investors: Solomon Kumin’s Folger Hill Asset Management, Ken Griffin’s Citadel Investment Group, and George Soros’s Soros Fund Management.

Let’s go over hedge fund activity in other stocks similar to Level 3 Communications, Inc. (NYSE:LVLT). We will take a look at Magna International Inc. (USA) (NYSE:MGA), Western Digital Corp. (NASDAQ:WDC), T. Rowe Price Group, Inc. (NASDAQ:TROW), and Hartford Financial Services Group Inc (NYSE:HIG). This group of stocks’ market values are closest to LVLT’s market value.

As you can see these stocks had an average of 36 funds with bullish positions and the average amount invested in these stocks was $778 million. That figure was $2.79 billion in LVLT’s case. Western Digital Corp. (NASDAQ:WDC) is the most popular stock in this table. On the other hand Magna International Inc. (USA) (NYSE:MGA) is the least popular one with only 27 bullish hedge fund positions. Level 3 Communications, Inc. (NYSE:LVLT) 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 Western Digital Corp. (NASDAQ:WDC) might be a better candidate to consider taking a long position in.

Disclosure: none