How Unifi, Inc. (UFI) Stacks Up Against Its Peers

Earlier we told you that the aggregate hedge fund interest in the stock was unchanged and we view this as a negative development. Even though there weren’t any hedge funds dumping their holdings during the third quarter, there weren’t any hedge funds initiating brand new positions. This indicates that hedge funds, at the very best, perceive this stock as dead money and they haven’t identified any viable catalysts that can attract investor attention.

Let’s now review hedge fund activity in other stocks similar to Unifi, Inc. (NYSE:UFI). We will take a look at AtriCure Inc. (NASDAQ:ATRC), Armstrong Flooring Inc (NYSE:AFI), World Point Terminals LP (NYSE:WPT), and PGT, Inc. (NASDAQ:PGTI). This group of stocks’ market valuations match UFI’s market valuation.

As you can see these stocks had an average of 12 hedge funds with bullish positions and the average amount invested in these stocks was $88 million. That figure was $68 million in UFI’s case. AtriCure Inc. (NASDAQ:ATRC) is the most popular stock in this table. On the other hand World Point Terminals LP (NYSE:WPT) is the least popular one with only 3 bullish hedge fund positions. Unifi, Inc. (NYSE:UFI) 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 ATRC might be a better candidate to consider taking a long position in.

Disclosure: None