Hedge Funds Are Crazy About Capital Bank Financial Corp (CBF)

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With a general bullishness amongst the heavyweights, specific money managers were leading the bulls’ herd. Prospector Partners, led by John D. Gillespie, established the most valuable position in Capital Bank Financial Corp (NASDAQ:CBF). According to its latest 13F filing, the fund had $0.8 million invested in the company at the end of the quarter.

Let’s go over hedge fund activity in other stocks similar to Capital Bank Financial Corp (NASDAQ:CBF). We will take a look at Yirendai Ltd – ADR (NYSE:YRD), 8×8, Inc. (NASDAQ:EGHT), Omnicell, Inc. (NASDAQ:OMCL), and Hope Bancorp Inc (NASDAQ:HOPE). This group of stocks’ market values match CBF’s market value.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
YRD 5 2263 3
EGHT 20 163366 3
OMCL 9 31612 1
HOPE 16 134706 16

As you can see these stocks had an average of 13 hedge funds with bullish positions and the average amount invested in these stocks was $83 million. That figure was $17 million in CBF’s case. 8×8, Inc. (NASDAQ:EGHT) is the most popular stock in this table. On the other hand Yirendai Ltd – ADR (NYSE:YRD) is the least popular one with only 5 bullish hedge fund positions. Capital Bank Financial Corp (NASDAQ:CBF) 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 EGHT might be a better candidate to consider taking a long position in.

Disclosure: None


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