Why Traders Are Paying Attention to Twitter Inc (TWTR) Today?

Because Twitter Inc (NYSE:TWTR) has faced a decline in interest from the aggregate hedge fund industry, we can see that there was a specific group of fund managers that slashed their entire stakes last quarter. At the top of the heap, Sanford J. Colen’s Apex Capital said goodbye to the biggest stake of the “upper crust” of funds monitored by Insider Monkey, valued at about $19.5 million in stock. Philippe Jabre’s fund, Jabre Capital Partners, also dumped its stock, about $11.9 million worth. These moves are important to note, as total hedge fund interest dropped by 3 funds last quarter.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as Twitter Inc (NYSE:TWTR) but similarly valued. We will take a look at Coca-Cola Enterprises Inc (NYSE:CCE), Principal Financial Group Inc (NYSE:PFG), Mattel, Inc. (NASDAQ:MAT), and Empresa Nacional de Electricidad (ADR) (NYSE:EOC). All of these stocks’ market caps are closest to TWTR’s market cap.

As you can see these stocks had an average of 27 hedge funds with bullish positions and the average amount invested in these stocks was $473 million. That figure was $403 million in TWTR’s case. Mattel, Inc. (NASDAQ:MAT) is the most popular stock in this table. On the other hand Empresa Nacional de Electricidad (ADR) (NYSE:EOC) is the least popular one with only 13 bullish hedge fund positions. Twitter Inc (NYSE:TWTR) 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 MAT might be a better candidate to consider a long position.

Disclosure: None