5 Stocks With Rising RSI’s That Lost Hedge Fund Support

#4. Smith & Wesson Holding Corp (NASDAQ:SWHC)

– Hedge funds with long positions as of March 31: 24

– Value of hedge funds’ holdings as of March 31: $121.78 Million

– RSI: 29.07

There were 24 asset managers tracked by our team with long positions in Smith & Wesson Holding Corp (NASDAQ:SWHC) at the end of the March quarter, as compared to 27 registered at the end of the December quarter. The aggregate value of those positions fell by 11% quarter-on-quarter to $121.78 million even though Smith & Wesson’s shares gained 21% during the quarter. The U.S. manufacturer of firearms has seen its shares advance by 32% since the start of 2016, partially owing to the recent shooting of Dallas police officers that intensified the gun control debate. Although U.S. president Barack Obama has been making impassioned appeals for more gun controls lately, demand for the gun maker’s products did not suffer any blows. Smith & Wesson’s net sales for fiscal 2016 that ended April 30 totaled $722.9 million, an impressive increase of 31.0% year-over-year. One may get the feeling that calls to increase gun control invite more buyers to stores. David Costen Haley’s HBK Investments was the owner of 341,500 shares of Smith & Wesson Holding Corp (NASDAQ:SWHC) at the end of March.

#3. Target Corporation (NYSE:TGT)

– Hedge funds with long positions as of March 31: 34

– Value of hedge funds’ holdings as of March 31: $1.10 Billion

– RSI: 71.31

The number of hedge fund vehicles from our system invested in Target Corporation (NYSE:TGT) fell to 34 from 38 during the January-to-March quarter, while the value of those funds’ equity stakes in the company shrunk by 15% quarter-over-quarter to $1.10 billion. Just recently, the second-largest discount retailer in the U.S. announced the launch of a new kids apparel brand called Cat & Jack, a move believed to represent an important step in the company’s long-term revitalization plan. The retailer will replace its well-known in-house Circo and licensed Cherokee kids’ labels with a trendier brand, betting that sales will climb at twice the rate of children’s lines at competitors such as Kohl’s, the Children’s Place and others. The shares of the Minneapolis-based company are down a little less than 2% since the start of the year, but the stock has gained 5% in the past month alone. Jim Simons’ Renaissance Technologies had 1.84 million shares of Target Corporation (NYSE:TGT) among its holdings on March 31.

The last page of this article will reveal the hedge fund sentiment towards the two remaining stocks with rising RSI.