Do Hedge Funds Love Dr Pepper Snapple Group Inc. (DPS)?

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Due to the fact that Dr Pepper Snapple Group Inc. (NYSE:DPS) has experienced a decline in interest from the entirety of the hedge funds we track, logic holds that there exists a select few hedgies who were dropping their full holdings heading into Q4. It’s worth mentioning that Anand Parekh’s Alyeska Investment Group sold off the largest stake of the 700 funds tracked by Insider Monkey, valued at an estimated $20 million in stock, and Ken Griffin’s Citadel Investment Group was right behind this move, as the fund said goodbye to about $2 million worth of options. These transactions are interesting, as total hedge fund interest fell by 2 funds heading into Q4.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Dr Pepper Snapple Group Inc. (NYSE:DPS) but similarly valued. We will take a look at The Clorox Company (NYSE:CLX), DTE Energy Co (NYSE:DTE), The J.M. Smucker Company (NYSE:SJM), and Sasol Limited (ADR) (NYSE:SSL). All of these stocks’ market caps resemble DPS’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
CLX 25 771295 -1
DTE 20 533875 5
SJM 25 411234 -5
SSL 9 23488 -2

As you can see these stocks had an average of 20 hedge funds with bullish positions and the average amount invested in these stocks was $435 million. That figure was an impressive $1.87 billion in DPS’s case. The Clorox Company (NYSE:CLX) is the most popular stock in this table. On the other hand Sasol Limited (ADR) (NYSE:SSL) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks Dr Pepper Snapple Group Inc. (NYSE:DPS) 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.

Disclosure: none.

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