EZchip Semiconductor Ltd. (EZCH): What Smart Money Tells Us About This Stock

With a general bullishness amongst the heavyweights, specific money managers were leading the bulls’ herd. Water Island Capital established the most valuable position in EZchip Semiconductor Ltd. (NASDAQ:EZCH). Water Island Capital had $15.1 million invested in the company at the end of the quarter. GAMCO Investors also initiated a $2.5 million position during the quarter. The other funds with brand new EZchip Semiconductor Ltd. positions are Matthew Hulsizer’s PEAK6 Capital Management and Paul Glazer’s Glazer Capital.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as EZchip Semiconductor Ltd. (NASDAQ:EZCH) but similarly valued. We will take a look at Crossamerica Partners LP (NYSE:CAPL), City Holding Company (NASDAQ:CHCO), Biglari Holdings Inc (NYSE:BH), and Deltic Timber Corp (NYSE:DEL). All of these stocks’ market caps are closest to EZchip Semiconductor Ltd. ‘s market cap.

As you can see these stocks had an average of 6 hedge funds with bullish positions and the average amount invested in these stocks was $66 million. That figure was $84 million in EZchip Semiconductor Ltd.’s case. City Holding Company (NASDAQ:CHCO) is the most popular stock in this table. On the other hand Crossamerica Partners LP (NYSE:CAPL) is the least popular one with only 4 bullish hedge fund positions. EZchip Semiconductor Ltd. (NASDAQ:EZCH) is tied for the most popular stock in this group and has an above-average amount of capital invested in it. This is a positive signal and makes the stock a good candidate to consider a long position in.