Hedge Funds Are Rapidly Ditching TriNet Group Inc (TNET): What Has Them Spooked?

Seeing as TriNet Group Inc (NYSE:TNET) has experienced falling interest from the aggregate hedge fund industry, we can see that there is a sect of hedge funds who were dropping their positions entirely by the end of the third quarter. Intriguingly, Eric Bannasch’s Cadian Capital said goodbye to the biggest position of the “upper crust” of funds followed by Insider Monkey, valued at an estimated $44.3 million in stock. Michael R. Weisberg’s fund, Crestwood Capital Management, also dropped its stock, about $6.1 million worth.

Let’s go over hedge fund activity in other stocks similar to TriNet Group Inc (NYSE:TNET). We will take a look at Sohu.com Inc (NASDAQ:SOHU), Plantronics, Inc. (NYSE:PLT), Banner Corporation (NASDAQ:BANR), and Nexstar Broadcasting Group, Inc. (NASDAQ:NXST). This group of stocks’ market valuations resemble TNET’s market valuation.

As you can see these stocks had an average of 22 hedge funds with bullish positions and the average amount invested in these stocks was $405 million. That figure was $124 million in TNET’s case. Nexstar Broadcasting Group, Inc. (NASDAQ:NXST) is the most popular stock in this table. On the other hand Plantronics, Inc. (NYSE:PLT) is the least popular one with only 12 bullish hedge fund positions. TriNet Group Inc (NYSE:TNET) 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 NXST might be a better candidate to consider taking a long position in.

Disclosure: None