Domino’s Pizza, Inc. (DPZ): Are Hedge Funds Right About This Stock?

As aggregate interest increased, key hedge funds have jumped into Domino’s Pizza, Inc. (NYSE:DPZ) headfirst. ZWEIG DIMENNA PARTNERS, managed by Joe DiMenna, created the most valuable position in Domino’s Pizza, Inc. (NYSE:DPZ). ZWEIG DIMENNA PARTNERS had $10.1 million invested in the company at the end of the quarter. Matthew Hulsizer’s PEAK6 Capital Management also made a $1.3 million investment in the stock during the quarter. The other funds with brand new DPZ positions are Larry Foley and Paul Farrell’s Bronson Point Partners, Lawrence Sapanski’s Scoria Capital, and Richard Driehaus’s Driehaus Capital.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Domino’s Pizza, Inc. (NYSE:DPZ) but similarly valued. These stocks are NiSource Inc. (NYSE:NI), Atmos Energy Corporation (NYSE:ATO), OneMain Holdings Inc (NYSE:LEAF), and Dicks Sporting Goods Inc (NYSE:DKS). All of these stocks’ market caps resemble DPZ’s market cap.

As you can see these stocks had an average of 23 hedge funds with bullish positions and the average amount invested in these stocks was $1158 million. That figure was $1,024 million in DPZ’s case. OneMain Holdings Inc (NYSE:LEAF) is the most popular stock in this table. On the other hand Atmos Energy Corporation (NYSE:ATO) is the least popular one with only 11 bullish hedge fund positions. Domino’s Pizza, Inc. (NYSE:DPZ) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal which, in combination with the total number of funds long the stock increasing by 5, makes the stock worthy of a closer look.