Is Anheuser Busch Inbev SA NV (ADR) (BUD) A Good Stock To Buy?

Due to the fact that Anheuser Busch Inbev SA NV (ADR) (NYSE:BUD) has faced declining sentiment from the smart money, it’s safe to say that there were a few hedgies that slashed their full holdings in the third quarter. Interestingly, Stephen Mandel’s Lone Pine Capital dumped the biggest investment of the 700 funds watched by Insider Monkey, comprising close to $554.1 million in stock. First Eagle Investment Management also dumped its stock worth about $207.2 million.

Let’s now take a look at hedge fund activity in other stocks similar to Anheuser Busch Inbev SA NV (ADR) (NYSE:BUD). These stocks are Royal Dutch Shell plc (ADR) (NYSE:RDS), Chevron Corporation (NYSE:CVX), Alibaba Group Holding Ltd (NYSE:BABA), and Novartis AG (ADR) (NYSE:NVS). This group of stocks’ market valuations resemble BUD’s market valuation.

As you can see these stocks had an average of 54 hedge funds with bullish positions and the average amount invested in these stocks was $3.10 billion, which is lower than the $5.85 billion figure in BUD’s case. Alibaba Group Holding Ltd (NYSE:BABA) is the most popular stock in this table. On the other hand, Novartis AG (ADR) (NYSE:NVS) is the least popular one with only 26 bullish hedge fund positions. Anheuser Busch Inbev SA NV (ADR) (NYSE:BUD) 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 Alibaba Group Holding Ltd (NYSE:BABA) might be a better candidate to consider a long position.