Is Buckeye Partners, L.P. (BPL) A Good Stock To Buy?

Since Buckeye Partners, L.P. (NYSE:BPL) has faced a decline in interest from the entirety of the hedge funds we track, we can see that there lies a certain “tier” of funds who were dropping their positions entirely last quarter. It’s worth mentioning that Richard Driehaus’ Driehaus Capital cashed in the largest investment of the “upper crust” of funds studied by Insider Monkey, totaling an estimated $2.6 million in stock, and Ken Griffin’s Citadel Investment Group was right behind this move, as the fund dropped about $1.5 million worth of shares.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Buckeye Partners, L.P. (NYSE:BPL) but similarly valued. These stocks are Expeditors International of Washington (NASDAQ:EXPD), Mobileye NV (NYSE:MBLY), Cna Financial Corp (NYSE:CNA), and Western Gas Equity Partners LP (NYSE:WGP). This group of stocks’ market caps are closest to BPL’s market cap.

As you can see these stocks had an average of 20 hedge funds with bullish positions and the average amount invested in these stocks was $297 million. That figure was $67 million in BPL’s case. Mobileye NV (NYSE:MBLY) is the most popular stock in this table. On the other hand Western Gas Equity Partners LP (NYSE:WGP) is the least popular one with only 9 bullish hedge fund positions. Buckeye Partners, L.P. (NYSE:BPL) 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 MBLY might be a better candidate to consider taking a long position in.

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