Hedge Funds Are Buying Ethan Allen Interiors Inc. (ETH)

As aggregate interest increased, key money managers have been driving this bullishness. Whitebox Advisors, managed by Andy Redleaf, assembled the most outsized position in Ethan Allen Interiors Inc. (NYSE:ETH). Whitebox Advisors had $5 million invested in the company at the end of the quarter. Paul Hondros’ AlphaOne Capital Partners also initiated a $3.3 million position during the quarter. The other funds with new positions in the stock are Ken Fisher’s Fisher Asset Management, Joel Greenblatt’s Gotham Asset Management, and Chao Ku’s Nine Chapters Capital Management.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Ethan Allen Interiors Inc. (NYSE:ETH) but similarly valued. We will take a look at Radware Ltd. (NASDAQ:RDWR), Inteliquent (NASDAQ:IQNT), MaxLinear, Inc. (NYSE:MXL), and Quotient Technology Inc (NYSE:COUP). This group of stocks’ market values resemble ETH’s market value.

As you can see these stocks had an average of 17.25 hedge funds with bullish positions and the average amount invested in these stocks was $109 million. That figure was $183 million in ETH’s case. MaxLinear, Inc. (NYSE:MXL) is the most popular stock in this table. On the other hand Quotient Technology Inc (NYSE:COUP) is the least popular one with only 7 bullish hedge fund positions. Ethan Allen Interiors Inc. (NYSE:ETH) 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 MXL might be a better candidate to consider a long position.