eBay Inc (EBAY): Are Hedge Funds Right About This Stock?

Due to the fact that eBay Inc (NASDAQ:EBAY) has witnessed falling interest from the entirety of the hedge funds we track, logic holds that there was a specific group of fund managers that decided to sell off their entire stakes heading into 2016. Intriguingly, Seth Klarman’s Baupost Group dumped the biggest investment of the “upper crust” of funds watched by Insider Monkey, valued at about $227.7 million in stock. William B. Gray’s fund, Orbis Investment Management, also sold off its stock, about $223.5 million worth. These moves are important to note, as total hedge fund interest was cut by 11 funds during the fourth quarter.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as eBay Inc (NASDAQ:EBAY) but similarly valued. We will take a look at Canon Inc. (ADR) (NYSE:CAJ), Estee Lauder Companies Inc (NYSE:EL), Becton, Dickinson and Co. (NYSE:BDX), and T MOBILE US INC (NYSE:TMUS). This group of stocks’ market values match EBAY’s market value.

As you can see these stocks had an average of 28 hedge funds with bullish positions and the average amount invested in these stocks was $974 million. That figure was $2.80 billion in EBAY’s case. T MOBILE US INC (NYSE:TMUS) is the most popular stock in this table. On the other hand Canon Inc. (ADR) (NYSE:CAJ) is the least popular one with only 5 bullish hedge fund positions. Compared to these stocks eBay Inc (NASDAQ:EBAY) 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.