Is Chesapeake Energy Corporation (CHK) A Good Stock To Buy?

Now, specific money managers have been driving this bullishness. Steadfast Capital Management, managed by Robert Pitts, assembled the most outsized position in Chesapeake Energy Corporation (NYSE:CHK). Steadfast Capital Management had $67.7 million invested in the company at the end of the quarter. Christian Leone’s Luxor Capital Group also initiated a $26.3 million position during the quarter. The other funds with brand new CHK positions are Andreas Halvorsen’s Viking Global, Malcolm Fairbairn’s Ascend Capital, and Robert Vollero and Gentry T. Beach’s Vollero Beach Capital Partners.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Chesapeake Energy Corporation (NYSE:CHK) but similarly valued. These stocks are RenaissanceRe Holdings Ltd. (NYSE:RNR), National Retail Properties, Inc. (NYSE:NNN), People’s United Financial, Inc. (NASDAQ:PBCT), and Live Nation Entertainment, Inc. (NYSE:LYV). This group of stocks’ market caps are similar to CHK’s market cap.

As you can see these stocks had an average of 18.25 hedge funds with bullish positions and the average amount invested in these stocks was $294 million. That figure was $1211 million in CHK’s case. Live Nation Entertainment, Inc. (NYSE:LYV) is the most popular stock in this table. On the other hand People’s United Financial, Inc. (NASDAQ:PBCT) is the least popular one with only 10 bullish hedge fund positions. Compared to these stocks Chesapeake Energy Corporation (NYSE:CHK) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.