Since Lands’ End, Inc. (NASDAQ:LE) has witnessed bearish sentiment from the smart money, it’s safe to say that there were a few hedge funds that elected to cut their entire stakes in the third quarter. At the top of the heap, Clint Carlson’s Carlson Capital dropped the largest stake of the 700 funds followed by Insider Monkey, valued at an estimated $23.3 million in stock. Joel Greenblatt’s fund, Gotham Asset Management, also said goodbye to its stock, about $14.9 million worth. These moves are important to note, as aggregate hedge fund interest was cut by 4 funds in the third quarter.
Let’s go over hedge fund activity in other stocks similar to Lands’ End, Inc. (NASDAQ:LE). We will take a look at Seadrill Partners LLC (NYSE:SDLP), Briggs & Stratton Corporation (NYSE:BGG), Orion Engineered Carbons SA (NYSE:OEC), and Ebix Inc (NASDAQ:EBIX). All of these stocks’ market caps are closest to LE’s market cap.
|Ticker||No of HFs with positions||Total Value of HF Positions (x1000)||Change in HF Position|
As you can see these stocks had an average of 14 hedge funds with bullish positions and the average amount invested in these stocks was $86 million. That figure was $288 million in LE’s case. Briggs & Stratton Corporation (NYSE:BGG) is the most popular stock in this table. On the other hand, Seadrill Partners LLC (NYSE:SDLP) is the least popular one with only 6 bullish hedge fund positions. Lands’ End, Inc. (NASDAQ:LE) 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 BGG might be a better candidate to consider a long position.