Hedge Funds Are Buying Johnson Outdoors Inc. (JOUT)

With a general bullishness amongst the heavyweights, some big names were breaking ground themselves. Israel Englander’s Millennium Management assembled the most valuable position in Johnson Outdoors Inc. (NASDAQ:JOUT). The fund reportedly had $0.6 million invested in the company at the end of the quarter. Neil Chriss’s Hutchin Hill Capital also made a $0.2 million investment in the stock during the quarter.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as Johnson Outdoors Inc. (NASDAQ:JOUT) but similarly valued. We will take a look at Horizon Global Corp (NYSE:HZN), Invacare Corporation (NYSE:IVC), Versartic Inc (NASDAQ:VSAR), and Ashford Hospitality Prime Inc (NYSE:AHP). This group of stocks’ market values are similar to JOUT’s market value.

As you can see these stocks had an average of 15 hedge funds with bullish positions and the average amount invested in these stocks was $105 million. That figure was $11 million in JOUT’s case. Horizon Global Corp (NYSE:HZN) is the most popular stock in this table. On the other hand Ashford Hospitality Prime Inc (NYSE:AHP) is the least popular one with only 12 bullish hedge fund positions. Compared to these stocks Johnson Outdoors Inc. (NASDAQ:JOUT) is even less popular than AHP. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.

Disclosure: None