Is AGNC Investment Corp (AGNC) Going to Burn These Hedge Funds?

We already know that not all hedge funds are bullish on the stock and some hedge funds actually cut their positions entirely. At the top of the heap, Dmitry Balyasny’s Balyasny Asset Management cut the largest stake of all the hedgies followed by Insider Monkey, worth about $24.9 million in AGNC Investment Corp (NASDAQ:AGNC) stock. Israel Englander’s fund, Millennium Management, also said goodbye to its stock, about $15.5 million worth of shares.

Let’s check out hedge fund activity in other stocks similar to AGNC Investment Corp (NASDAQ:AGNC). We will take a look at FMC Corp (NYSE:FMC), SS and C Technologies Holdings Inc (NASDAQ:SSNC), Enable Midstream Partners LP (NYSE:ENBL), and HD Supply Holdings Inc (NASDAQ:HDS). This group of stocks’ market valuations are similar to AGNC’s market valuation.

As you can see these stocks had an average of 26 hedge funds with bullish positions and the average amount invested in these stocks was roughly $1 billion. That figure was a meager $155 million in AGNC’s case. HD Supply Holdings Inc (NASDAQ:HDS) is the most popular stock in this table. On the other hand Enable Midstream Partners LP (NYSE:ENBL) is the least popular one with only 4 bullish hedge fund positions. AGNC Investment Corp (NASDAQ:AGNC) 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 HDS might be a better candidate to consider taking a long position in.

Disclosure: None