Hedge Funds Are Selling Red Robin Gourmet Burgers, Inc. (RRGB)

Because Red Robin Gourmet Burgers, Inc. (NASDAQ:RRGB) has faced declining sentiment from the entirety of the hedge funds we track, it’s safe to say that there was a specific group of funds that elected to cut their positions entirely by the end of the third quarter. Interestingly, Doug Gordon, Jon Hilsabeck and Don Jabro’s Shellback Capital dumped the biggest investment of all the hedgies watched by Insider Monkey, comprising about $8.2 million in stock. D. E. Shaw’s fund, D E Shaw, also said goodbye to its stock, about $4.1 million worth. These moves are intriguing to say the least, as total hedge fund interest was cut by 4 funds by the end of the third quarter.

Let’s now review hedge fund activity in other stocks similar to Red Robin Gourmet Burgers, Inc. (NASDAQ:RRGB). These stocks are Trex Company, Inc. (NYSE:TREX), Amkor Technology, Inc. (NASDAQ:AMKR), Opus Bank (NASDAQ:OPB), and Envestnet Inc (NYSE:ENV). This group of stocks’ market values are similar to RRGB’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 $192 million. That figure was $111 million in RRGB’s case. Trex Company, Inc. (NYSE:TREX) and Amkor Technology, Inc. (NASDAQ:AMKR) are the most popular stocks in this table with a total of 16 funds holding stakes in each. On the other hand, Opus Bank (NASDAQ:OPB) is the least popular one with only 13 bullish hedge fund positions. Compared to these stocks Red Robin Gourmet Burgers, Inc. (NASDAQ:RRGB) 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.