Amerisafe, Inc. (AMSF): Are Hedge Funds Right About This Stock?

Judging by the fact that Amerisafe, Inc. (NASDAQ:AMSF) has sustained falling interest from the entirety of the hedge funds we track, it’s safe to say that there was a specific group of funds that elected to cut their full holdings last quarter. Interestingly, Paul Tudor Jones’ Tudor Investment Corp sold off the biggest stake of the “upper crust” of funds monitored by Insider Monkey, valued at close to $0.6 million in stock, and D. E. Shaw’s D E Shaw was right behind this move, as the fund dumped about $0.3 million worth of shares.

Let’s check out hedge fund activity in other stocks similar to Amerisafe, Inc. (NASDAQ:AMSF). These stocks are Green Dot Corporation (NYSE:GDOT), Genesco Inc. (NYSE:GCO), Knoll Inc (NYSE:KNL), and Frontline Ltd (NYSE:FRO). This group of stocks’ market caps are closest to AMSF’s market cap.

As you can see these stocks had an average of 14 hedge funds with bullish positions and the average amount invested in these stocks was $75 million. That figure was $18 million in AMSF’s case. Green Dot Corporation (NYSE:GDOT) is the most popular stock in this table. On the other hand Frontline Ltd (NYSE:FRO) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks Amerisafe, Inc. (NASDAQ:AMSF) is even less popular than FRO. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.

Disclosure: None