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Hedge Funds Are Dumping Ocean Rig UDW LLC (ORIG)

We already know that not all hedge funds are bullish on the stock and some hedge funds actually cut their positions entirely. Interestingly, Robert B. Gillam’s McKinley Capital Management cut the biggest stake of all the investors monitored by Insider Monkey, valued at an estimated $1.8 million in stock, and Joshua Packwood and Schuster Tanger’s Radix Partners was right behind this move, as the fund dumped about $0.3 million worth of shares.

Let’s go over hedge fund activity in other stocks similar to Ocean Rig UDW LLC (NASDAQ:ORIG). We will take a look at Twin Disc, Incorporated (NASDAQ:TWIN), Talend SA ADR (NASDAQ:TLND), YuMe Inc (NYSE:YUME), and Pure Cycle Corporation (NASDAQ:PCYO). This group of stocks’ market valuations match ORIG’s market valuation.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
TWIN 7 16632 -1
TLND 7 14402 7
YUME 9 13593 -2
PCYO 6 54636 1

As you can see these stocks had an average of 7 hedge funds with bullish positions and the average amount invested in these stocks was $25 million. That figure was $10 million in ORIG’s case. YuMe Inc (NYSE:YUME) is the most popular stock in this table. On the other hand Pure Cycle Corporation (NASDAQ:PCYO) is the least popular one with only 6 bullish hedge fund positions. Ocean Rig UDW LLC (NASDAQ:ORIG) 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 YUME might be a better candidate to consider taking a long position in.

Disclosure: None