Hedge Funds Aren’t Crazy About Marvell Technology Group Ltd. (MRVL) Anymore

Seeing as Marvell Technology Group Ltd. (NASDAQ:MRVL) has faced a declination in interest from hedge fund managers, we can see that there lies a certain “tier” of fund managers who were dropping their full holdings heading into Q4. At the top of the heap, Dmitry Balyasny’s Balyasny Asset Management dropped the biggest investment of the “upper crust” of funds tracked by Insider Monkey, totaling close to $61.7 million in stock, and Doug Silverman and Alexander Klabin’s Senator Investment Group was right behind this move, as the fund dumped about $59.3 million worth. These moves are interesting, as aggregate hedge fund interest dropped by 5 funds heading into Q4.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Marvell Technology Group Ltd. (NASDAQ:MRVL) but similarly valued. These stocks are Aqua America Inc (NYSE:WTR), Dunkin Brands Group Inc (NASDAQ:DNKN), B/E Aerospace Inc (NASDAQ:BEAV), and Health Net, Inc. (NYSE:HNT). All of these stocks’ market caps resemble MRVL’s market cap.

As you can see these stocks had an average of 30.5 hedge funds with bullish positions and the average amount invested in these stocks was $793 million. That figure was $373 million in MRVL’s case. B/E Aerospace Inc (NASDAQ:BEAV) is the most popular stock in this table. On the other hand Aqua America Inc (NYSE:WTR) is the least popular one with only 11 bullish hedge fund positions. Marvell Technology Group Ltd. (NASDAQ:MRVL) 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 BEAV might be a better candidate to consider a long position.