Here is What Hedge Funds Think About Mack Cali Realty Corp (CLI)

Seeing as Mack Cali Realty Corp (NYSE:CLI) has encountered a decline in interest from the aggregate hedge fund industry, it’s safe to say that there exists a select few money managers that slashed their full holdings by the end of the third quarter. At the top of the heap, Richard Driehaus’ Driehaus Capital said goodbye to the biggest investment of all the hedgies studied by Insider Monkey, comprising an estimated $0.7 million in stock. Matthew Hulsizer’s fund, PEAK6 Capital Management, also dumped its call options, about $0.6 million worth.

Let’s also examine hedge fund activity in other stocks similar to Mack Cali Realty Corp (NYSE:CLI). We will take a look at Visteon Corp (NYSE:VC), INC Research Holdings Inc (NASDAQ:INCR), Churchill Downs, Inc. (NASDAQ:CHDN), and Cathay General Bancorp (NASDAQ:CATY). This group of stocks’ market caps resemble CLI’s market cap.

As you can see these stocks had an average of 23 hedge funds with bullish positions and the average amount invested in these stocks was $425 million. That figure was $114 million in CLI’s case. INC Research Holdings Inc (NASDAQ:INCR) is the most popular stock in this table. On the other hand Cathay General Bancorp (NASDAQ:CATY) is the least popular one with only 12 bullish hedge fund positions. Compared to these stocks Mack Cali Realty Corp (NYSE:CLI) is even less popular than CATY. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.

Disclosure: none