Hedge Funds Are Growing More Bullish on Regional Management Corp (RM)

As industry-wide interest jumped, key money managers have been driving this bullishness. Arrowstreet Capital, led by Peter Rathjens, Bruce Clarke and John Campbell, created the largest position in Regional Management Corp (NYSE:RM). Arrowstreet Capital had $1.4 million invested in the company at the end of the quarter. Glenn Russell Dubin’s Highbridge Capital Management also made a $0.5 million investment in the stock during the quarter. The other funds with new positions in the stock are Ken Griffin’s Citadel Investment Group and Gavin Saitowitz and Cisco J. del Valle’s Springbok Capital.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Regional Management Corp (NYSE:RM) but similarly valued. These stocks are Skullcandy Inc (NASDAQ:SKUL), Southern Missouri Bancorp, Inc. (NASDAQ:SMBC), Westmoreland Coal Company (NASDAQ:WLB), and Ardmore Shipping Corp (NYSE:ASC). This group of stocks’ market valuations are closest to RM’s market valuation.

As you can see these stocks had an average of 9 hedge funds with bullish positions and the average amount invested in these stocks was $18 million. That figure was $81 million in RM’s case. Westmoreland Coal Company (NASDAQ:WLB) is the most popular stock in this table. On the other hand Southern Missouri Bancorp, Inc. (NASDAQ:SMBC) is the least popular one with only 2 bullish hedge fund positions. Compared to these stocks Regional Management Corp (NYSE:RM) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None