As aggregate interest increased, some big names were breaking ground themselves. Sprott Asset Management, managed by Eric Sprott, created the most valuable position in Federated Investors Inc (NYSE:FII). Sprott Asset Management had $3 million invested in the company at the end of the quarter. Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital also initiated a $2.3 million position during the quarter. The following funds were also among the new FII investors: Mike Vranos’ Ellington, Ken Griffin’s Citadel Investment Group, and Neil Chriss’ Hutchin Hill Capital.
Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Federated Investors Inc (NYSE:FII) but similarly valued. We will take a look at Emcor Group Inc (NYSE:EME), Lions Gate Entertainment Corp. (USA) (NYSE:LGF), NuVasive, Inc. (NASDAQ:NUVA), and Two Harbors Investment Corp (NYSE:TWO). All of these stocks’ market caps match FII’s market cap.
|Ticker||No of HFs with positions||Total Value of HF Positions (x1000)||Change in HF Position|
As you can see these stocks had an average of 23 hedge funds with bullish positions and the average amount invested in these stocks was $396 million. That figure was $219 million in FII’s case. Lions Gate Entertainment Corp. (USA) (NYSE:LGF) is the most popular stock in this table. On the other hand Emcor Group Inc (NYSE:EME) is the least popular one with only 17 bullish hedge fund positions. Federated Investors Inc (NYSE:FII) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds really like. In this regard LGF might be a better candidate to consider a long position in, despite its recent tumble in smart money ownership.