Hedge Funds Aren’t Crazy About Webster Financial Corporation (WBS) Anymore

We already know that not all hedge funds are bullish on the stock and some hedge funds actually cashed in their positions entirely. At the top of the heap, Will Cook’s Sunriver Management cashed in the largest investment of the “upper crust” of funds followed by Insider Monkey, valued at about $14.5 million in stock. Anton Schutz’s fund, Mendon Capital Advisors, also cut its stock, about $3.4 million worth of WBS shares.

Let’s now take a look at hedge fund activity in other stocks similar to Webster Financial Corporation (NYSE:WBS). These stocks are Tallgrass Energy Partners LP (NYSE:TEP), Legg Mason, Inc. (NYSE:LM), Corelogic Inc (NYSE:CLGX), and Nabors Industries Ltd. (NYSE:NBR). All of these stocks’ market caps are closest to WBS’s market cap.

As you can see these stocks had an average of 20 hedge funds with bullish positions and the average amount invested in these stocks was $341 million. That figure was $224 million in WBS’s case. Nabors Industries Ltd. (NYSE:NBR) is the most popular stock in this table. On the other hand Tallgrass Energy Partners LP (NYSE:TEP) is the least popular one with only 5 bullish hedge fund positions. Webster Financial Corporation (NYSE:WBS) 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 NBR might be a better candidate to consider taking a long position in.

Disclosure: none.