Is Belmond Ltd (BEL) Going to Burn These Hedge Funds?

Since Belmond Ltd (NYSE:BEL) has experienced declining sentiment from the entirety of the hedge funds we track, it’s safe to say that there is a sect of funds that elected to cut their full holdings last quarter. It’s worth mentioning that David Steinberg and Eric Udoff’s Marlowe Partners dumped the largest stake of the “upper crust” of funds tracked by Insider Monkey, valued at about $1.1 million in stock. John Overdeck and David Siegel’s fund, Two Sigma Advisors, also cut its stock, about $1.1 million worth of BEL shares.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Belmond Ltd (NYSE:BEL) but similarly valued. We will take a look at WNS (Holdings) Limited (ADR) (NYSE:WNS), TriNet Group Inc (NYSE:TNET), Simmons First National Corporation (NASDAQ:SFNC), and New York REIT Inc (NYSE:NYRT). This group of stocks’ market caps are similar to BEL’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
WNS 11 64725 0
TNET 14 124160 -7
SFNC 6 9290 0
NYRT 16 131295 -4

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 $82 million. That figure was $103 million in BEL’s case. New York REIT Inc (NYSE:NYRT) is the most popular stock in this table. On the other hand Simmons First National Corporation (NASDAQ:SFNC) is the least popular one with only 6 bullish hedge fund positions. Belmond Ltd (NYSE:BEL) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard NYRT might be a better candidate to consider taking a long position in.

Disclosure: none.