California Resources Corp (CRC): Falling Out of Favor With Smart Money

Due to the fact that California Resources Corp (NYSE:CRC) has faced a decline in interest from hedge fund managers, it’s safe to say that there were a few funds that slashed their full holdings heading into Q4. Intriguingly, Pasco Alfaro and Richard Tumure’s Miura Global Management cut the biggest position of the “upper crust” of funds monitored by Insider Monkey, totaling an estimated $14 million in stock, and David Costen Haley’s HBK Investments was right behind this move, as the fund sold off about a $3.7 million position. These transactions are interesting, as total hedge fund interest dropped by 7 funds heading into Q4.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as California Resources Corp (NYSE:CRC) but similarly valued. We will take a look at Ennis, Inc. (NYSE:EBF), Momo Inc (ADR) (NASDAQ:MOMO), Movado Group, Inc (NYSE:MOV), and SunCoke Energy Partners LP (NYSE:SXCP). All of these stocks’ market caps match CRC’s market cap.

As you can see these stocks had an average of 13.5 hedge funds with bullish positions and the average amount invested in these stocks was $81 million. That figure was $176 million in CRC’s case. Momo Inc (ADR) (NASDAQ:MOMO) is the most popular stock in this table. On the other hand SunCoke Energy Partners LP (NYSE:SXCP) is the least popular one with only 3 bullish hedge fund positions. Compared to these stocks California Resources Corp (NYSE:CRC) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio, bearing in mind that several hedgies dumped the stock in Q3.

Disclosure: None