How McEwen Mining Inc (MUX) Stacks Up Against Its Peers

Judging by the fact that McEwen Mining Inc (NYSE:MUX) has weathered a decline in interest from the smart money, we can see that there lies a certain “tier” of funds that decided to sell off their positions entirely in the third quarter. Interestingly, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital cashed in the largest investment of the “upper crust” of funds studied by Insider Monkey, comprising about $2.4 million in stock. Michael A. Price and Amos Meron’s fund, Empyrean Capital Partners, also dropped its stock, about $2.1 million worth.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as McEwen Mining Inc (NYSE:MUX) but similarly valued. We will take a look at NuStar GP Holdings, LLC (NYSE:NSH), Comfort Systems USA, Inc. (NYSE:FIX), Sturm, Ruger & Company (NYSE:RGR), and Eagle Pharmaceuticals Inc (NASDAQ:EGRX). This group of stocks’ market caps are closest to MUX’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
NSH 4 6488 -2
FIX 20 135484 -1
RGR 15 76647 -1
EGRX 16 267495 -5

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 $122 million. That figure was $17 million in MUX’s case. Comfort Systems USA, Inc. (NYSE:FIX) is the most popular stock in this table. On the other hand NuStar GP Holdings, LLC (NYSE:NSH) is the least popular one with only 4 bullish hedge fund positions. McEwen Mining Inc (NYSE:MUX) 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 FIX might be a better candidate to consider taking a long position in.

Disclosure: None