Do Hedge Funds Love Rockwell Collins, Inc. (COL)?

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Since Rockwell Collins, Inc. (NYSE:COL) has experienced a declination in interest from the aggregate hedge fund industry, we can see that there exists a select few hedge funds that slashed their full holdings last quarter. Intriguingly, Alexander Mitchell’s Scopus Asset Management dropped the largest stake of the “upper crust” of funds followed by Insider Monkey, totaling an estimated $31.6 million in stock. Jacob Gottlieb’s fund, Visium Asset Management, also said goodbye to its stock, about $16.4 million worth. These moves are interesting, as aggregate hedge fund interest dropped by 3 funds last quarter.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Rockwell Collins, Inc. (NYSE:COL) but similarly valued. These stocks are D.R. Horton, Inc. (NYSE:DHI), SL Green Realty Corp (NYSE:SLG), CBRE Group Inc (NYSE:CBG), and Newell Rubbermaid Inc. (NYSE:NWL). All of these stocks’ market caps match COL’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
DHI 40 1299030 -2
SLG 12 99631 -8
CBG 32 1662629 0
NWL 27 468886 8

As you can see these stocks had an average of 27.75 hedge funds with bullish positions and the average amount invested in these stocks was $883 million. That figure was $191 million in COL’s case. D.R. Horton, Inc. (NYSE:DHI) is the most popular stock in this table. On the other hand SL Green Realty Corp (NYSE:SLG) is the least popular one with only 12 bullish hedge fund positions. Rockwell Collins, Inc. (NYSE:COL) 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 DHI might be a better candidate to consider a long position.

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