Do Hedge Funds Love HRG Group Inc (HRG)?

Now, key money managers have been driving this bullishness. Indaba Capital Management, led by Derek C. Schrier, created the largest position in HRG Group Inc (NYSE:HRG). Indaba Capital Management had $36 million invested in the company at the end of the quarter. Cliff Asness’ AQR Capital Management also made a $1.5 million investment in the stock during the quarter. The other funds with brand new HRG positions are Matthew Hulsizer’s PEAK6 Capital Management, Michael Platt and William Reeves’ BlueCrest Capital Mgmt., and Ken Griffin’s Citadel Investment Group.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as HRG Group Inc (NYSE:HRG) but similarly valued. These stocks are Leidos Holdings Inc (NYSE:LDOS), Education Realty Trust, Inc. (NYSE:EDR), Blackbaud, Inc. (NASDAQ:BLKB), and Proofpoint Inc (NASDAQ:PFPT). This group of stocks’ market caps are closest to HRG’s market cap.

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 $283 million. That figure was $1.54 billion in HRG’s case. Leidos Holdings Inc (NYSE:LDOS) is the most popular stock in this table. On the other hand Education Realty Trust, Inc. (NYSE:EDR) is the least popular one with only 11 bullish hedge fund positions. HRG Group Inc (NYSE:HRG) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard LDOS might be a better candidate to consider taking a long position in.

Disclosure: None