Hedge Funds Are Betting On Exelon Corporation (EXC)

As one would reasonably expect, key hedge funds have been driving this bullishness. Marshall Wace LLP, managed by Paul Marshall and Ian Wace, assembled the largest position in Exelon Corporation (NYSE:EXC). Marshall Wace LLP had $32.3 million invested in the company at the end of the quarter. Carl Tiedemann and Michael Tiedemann’s TIG Advisors also initiated a $22.8 million position during the quarter. The other funds with brand new EXC positions are Peter Muller’s PDT Partners, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital, and John Overdeck and David Siegel’s Two Sigma Advisors.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Exelon Corporation (NYSE:EXC) but similarly valued. We will take a look at Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX), Illumina, Inc. (NASDAQ:ILMN), Archer Daniels Midland Company (NYSE:ADM), and Cardinal Health, Inc. (NYSE:CAH). This group of stocks’ market caps resembles Exelon Corporation (NYSE:EXC)’s market cap.

As you can see, these stocks had an average of 47 hedge funds with bullish positions and the average amount invested in these stocks was $1.32 billion. That figure was $955 million in Exelon Corporation (NYSE:EXC)’s case. Illumina, Inc. (NASDAQ:ILMN) is the most popular stock in this table. On the other hand, Archer Daniels Midland Company (NYSE:ADM) is the least popular one with only 33 bullish hedge fund positions. Exelon Corporation (NYSE:EXC) 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, Illumina, Inc. (NASDAQ:ILMN) might be a better candidate to consider a long position.