Corenergy Infrastructure Trust Inc (CORR): Are Hedge Funds Right About This Stock?

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Judging by the fact that Corenergy Infrastructure Trust Inc (NYSE:CORR) has faced declining sentiment from the entirety of the hedge funds we track, logic holds that there lies a certain “tier” of funds that decided to sell off their full holdings in the third quarter. Interestingly, Gavin Saitowitz and Cisco J. del Valle’s Springbok Capital dropped the biggest investment of the “upper crust” of funds watched by Insider Monkey, valued at about $0.6 million in stock, and Benjamin A. Smith’s Laurion Capital Management was right behind this move, as the fund said goodbye to about $0.4 million worth. These transactions are intriguing to say the least, as total hedge fund interest fell by 1 fund in the third quarter.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Corenergy Infrastructure Trust Inc (NYSE:CORR) but similarly valued. We will take a look at Nova Measuring Instruments Ltd. (NASDAQ:NVMI), Pacific Drilling SA (NYSE:PACD), Antares Pharma Inc (NASDAQ:ATRS), and Harmony Gold Mining Co. (ADR) (NYSE:HMY). This group of stocks’ market values match CORR’s market value.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
NVMI 7 21462 -1
PACD 8 23604 -6
ATRS 14 64767 2
HMY 8 10213 -2

As you can see these stocks had an average of 9 hedge funds with bullish positions and the average amount invested in these stocks was $30 million. That figure was $25 million in CORR’s case. Antares Pharma Inc (NASDAQ:ATRS) is the most popular stock in this table. On the other hand Nova Measuring Instruments Ltd. (NASDAQ:NVMI) is the least popular one with only 7 bullish hedge fund positions. Corenergy Infrastructure Trust Inc (NYSE:CORR) is not the least popular stock in this group, but still has not attracted much attention from investors. This may indicate it is not a good stock to buy, and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard, ATRS might be a better candidate to consider a long position.

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