Do Hedge Funds Love IES Holdings Inc (IESC)?

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As industrywide interest jumped, key money managers have been driving this bullishness. G2 Investment Partners Management, led by Josh Goldberg, assembled the most outsized position in IES Holdings Inc (NASDAQ:IESC). According to its latest 13F filing, the fund had $1.9 million invested in the company at the end of the quarter. Brian Sheehy’s Iszo Capital also initiated a $0.7 million position during the quarter. The only other fund with a brand new IESC position is Gavin Saitowitz and Cisco J. del Valle’s Springbok Capital.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as IES Holdings Inc (NASDAQ:IESC) but similarly valued. We will take a look at OMNOVA Solutions Inc. (NYSE:OMN), Applied Optoelectronics Inc (NASDAQ:AAOI), Almost Family, Inc. (NASDAQ:AFAM), and STAAR Surgical Company (NASDAQ:STAA). This group of stocks’ market caps match IESC’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
OMN 17 43258 7
AAOI 16 74677 5
AFAM 15 42517 1
STAA 8 138314 0

As you can see these stocks had an average of 14 hedge funds with bullish positions and the average amount invested in these stocks was $75 million. That figure was a whooping $269 million in IESC’s case. OMNOVA Solutions Inc. (NYSE:OMN) is the most popular stock in this table. On the other hand STAAR Surgical Company (NASDAQ:STAA) is the least popular one with only 8 bullish hedge fund positions. Compared to these stocks IES Holdings Inc (NASDAQ:IESC) is even less popular than STAA. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.

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Disclosure: None




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