Hedge Funds Are Betting On PHH Corporation (PHH)

As industrywide interest jumped, some big names have been driving this bullishness. Samlyn Capital, managed by Robert Pohly, assembled the most valuable position in PHH Corporation (NYSE:PHH). Samlyn Capital had $42.1 million invested in the company at the end of the quarter. Porter Collins, Daniel Moses, and Vincent Daniel’s Seawolf Capital also initiated a $19.2 million position during the quarter. The other funds with new positions in the stock are Gunnar Overstrom’s Three Corner Global Investors, Paul Marshall and Ian Wace’s Marshall Wace LLP, and Richard Mashaal’s Rima Senvest Management.

Let’s also examine hedge fund activity in other stocks similar to PHH Corporation (NYSE:PHH). These stocks are SkyWest, Inc. (NASDAQ:SKYW), Badger Meter, Inc. (NYSE:BMI), Irsa Inversiones y Rprsntcins SA (ADR) (NYSE:IRS), and Ocwen Financial Corporation (NYSE:OCN). This group of stocks’ market values are closest to PHH’s market value.

As you can see these stocks had an average of 16 hedge funds with bullish positions and the average amount invested in these stocks was $130 million. That figure was $275 million in PHH’s case. Ocwen Financial Corporation (NYSE:OCN) is the most popular stock in this table. On the other hand Badger Meter, Inc. (NYSE:BMI) is the least popular one with only 5 bullish hedge fund positions. PHH Corporation (NYSE:PHH) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal, but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard OCN might be a better candidate to consider a long position.