Here is What Hedge Funds Think About Scotts Miracle-Gro Co (SMG)

Judging by the fact that Scotts Miracle-Gro Co (NYSE:SMG) has encountered declining sentiment from the entirety of the hedge funds we track, we can see that there exists a select few hedge funds who sold off their positions entirely last quarter. Interestingly, Jean-Marie Eveillard’s First Eagle Investment Management dumped the largest investment of the “upper crust” of funds followed by Insider Monkey, totaling about $398.5 million in stock, and Dmitry Balyasny’s Balyasny Asset Management was right behind this move, as the fund said goodbye to about $8.6 million worth of shares.

Let’s also examine hedge fund activity in other stocks similar to Scotts Miracle-Gro Co (NYSE:SMG). We will take a look at Weatherford International Ltd (NYSE:WFT), Gentex Corporation (NASDAQ:GNTX), EPR Properties (NYSE:EPR), and Watsco Inc (NYSE:WSO). All of these stocks’ market caps are similar to SMG’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 $286 million. That figure was $226 million in SMG’s case. Weatherford International Ltd (NYSE:WFT) is the most popular stock in this table. On the other hand Watsco Inc (NYSE:WSO) is the least popular one with only 18 bullish hedge fund positions. Scotts Miracle-Gro Co (NYSE:SMG) 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 WFT might be a better candidate to consider taking a long position in.

Disclosure: None