Do Hedge Funds Love Atlantica Yield PLC (ABY)?

Now, key hedge funds were leading the bulls’ herd. Southpoint Capital Advisors, led by John Smith Clark, assembled the most outsized position in Atlantica Yield PLC (NASDAQ:ABY). Southpoint Capital Advisors had $14.3 million invested in the company at the end of the quarter. David Halpert’s Prince Street Capital Management also initiated a $4.3 million position during the quarter. The only other fund with a brand new ABY position is George Hall’s Clinton Group.

Let’s go over hedge fund activity in other stocks similar to Atlantica Yield PLC (NASDAQ:ABY). These stocks are Grand Canyon Education Inc (NASDAQ:LOPE), Rowan Companies PLC (NYSE:RDC), Masonite International Corp (NYSE:DOOR), and CVB Financial Corp. (NASDAQ:CVBF). All of these stocks’ market caps resemble ABY’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
LOPE 19 133360 0
RDC 26 412625 2
DOOR 21 339628 -6
CVBF 7 5253 7

As you can see these stocks had an average of 18 hedge funds with bullish positions and the average amount invested in these stocks was $223 million. That figure was $385 million in ABY’s case. Rowan Companies PLC (NYSE:RDC) is the most popular stock in this table, while CVB Financial Corp. (NASDAQ:CVBF) is the least popular one with only seven funds holding shares. Atlantica Yield PLC (NASDAQ:ABY) 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 are piling on. In this regard RDC might be a better candidate to consider taking a long position in.

Disclosure: none