Here is What Hedge Funds Think About Stericycle Inc (SRCL)

As industrywide interest jumped, key money managers have been driving this bullishness. Laurion Capital Management, led by Benjamin A. Smith, established the biggest call position in Stericycle Inc (NASDAQ:SRCL). According to regulatory filings, the fund had $22 million invested in the company at the end of the quarter. John Overdeck and David Siegel’s Two Sigma Advisors also initiated a $21.1 million position during the quarter. The following funds were also among the new SRCL investors: Jim Simons’s Renaissance Technologies, John A. Levin’s Levin Capital Strategies, and Ken Griffin’s Citadel Investment Group.

Let’s now review hedge fund activity in other stocks – not necessarily in the same industry as Stericycle Inc (NASDAQ:SRCL) but similarly valued. We will take a look at Advanced Semiconductor Engineering (ADR) (NYSE:ASX), Coty Inc (NYSE:COTY), Arch Capital Group Ltd. (NASDAQ:ACGL), and Newfield Exploration Co. (NYSE:NFX). This group of stocks’ market values are closest to SRCL’s market value.

As you can see these stocks had an average of 31 hedge funds with bullish positions and the average amount invested in these stocks was $1.19 billion. That figure was $460 million in SRCL’s case. Coty Inc (NYSE:COTY) is the most popular stock in this table. On the other hand Advanced Semiconductor Engineering (ADR) (NYSE:ASX) is the least popular one with only 15 bullish hedge fund positions. Stericycle Inc (NASDAQ:SRCL) 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 COTY might be a better candidate to consider a long position.

Disclosure: none.