Is Core-Mark Holding Company, Inc. (CORE) A Good Stock To Buy?

Due to the fact that Core-Mark Holding Company, Inc. (NASDAQ:CORE) has faced declining sentiment from hedge fund managers, we can see that there is a sect of funds that slashed their full holdings by the end of the third quarter. Interestingly, Joel Greenblatt’s Gotham Asset Management cut the biggest position of all the hedgies tracked by Insider Monkey, totaling close to $4.8 million in stock, and Israel Englander’s Millennium Management was right behind this move, as the fund dumped about $2.2 million worth. These moves are interesting, as aggregate hedge fund interest dropped by 9 funds by the end of the third quarter.

Let’s now review hedge fund activity in other stocks similar to Core-Mark Holding Company, Inc. (NASDAQ:CORE). We will take a look at Sabra Health Care REIT Inc (NASDAQ:SBRA), Compania de Minas Buenaventura SA (ADR) (NYSE:BVN), Nexstar Broadcasting Group, Inc. (NASDAQ:NXST), and Magellan Health Services Inc (NASDAQ:MGLN). This group of stocks’ market caps are closest to CORE’s market cap.

As you can see these stocks had an average of 17 hedge funds with bullish positions and the average amount invested in these stocks was $216 million. That figure was $67 million in CORE’s case. Nexstar Broadcasting Group, Inc. (NASDAQ:NXST) is the most popular stock in this table. On the other hand Compania de Minas Buenaventura SA (ADR) (NYSE:BVN) is the least popular one with only 7 bullish hedge fund positions. Core-Mark Holding Company, Inc. (NASDAQ:CORE) 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 NXST might be a better candidate to consider a long position.