Is BankFinancial Corporation (BFIN) Going to Burn These Hedge Funds?

Consequently, key hedge funds were breaking ground themselves. Seawolf Capital assembled the largest position in BankFinancial Corporation (NASDAQ:BFIN). Seawolf Capital had $4.3 million invested in the company at the end of the quarter. Millennium Management also made a $0.2 million investment in the stock during the quarter.

Let’s also examine hedge fund activity in other stocks similar to BankFinancial Corporation (NASDAQ:BFIN). We will take a look at Real Industry Inc (NASDAQ:RELY), Hooker Furniture Corporation (NASDAQ:HOFT), Reis Inc (NASDAQ:REIS), and American Science & Engineering, Inc. (NASDAQ:ASEI). This group of stocks’ market caps match BankFinancial Corporation (NASDAQ:BFIN)’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
RELY 9 25280 0
HOFT 10 30130 -2
REIS 9 32097 1
ASEI 9 31319 -2

As you can see, these stocks had an average of 9 hedge funds with bullish positions and the average amount invested in these stocks was $30 million. That figure was $35 million in BankFinancial Corporation (NASDAQ:BFIN)’s case. Hooker Furniture Corporation (NASDAQ:HOFT) is the most popular stock in this table. On the other hand, Real Industry Inc (NASDAQ:RELY) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks, BankFinancial Corporation (NASDAQ:BFIN) is even less popular than Real Industry Inc (NASDAQ:RELY). Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case, more research is warranted.