Is D.R. Horton, Inc. (DHI) Going To Burn These Hedge Funds?

Now, specific money managers have been driving this bullishness. Israel Englander’s Millennium Management assembled the biggest position in D.R. Horton, Inc. (NYSE:DHI). Millennium Management had $73.1 million invested in the company at the end of the quarter. Crispin Odey’s Odey Asset Management Group also made a $47.5 million investment in the stock during the quarter. The following funds were also among the new DHI investors: Jim Simons’ Renaissance Technologies, D. E. Shaw’s D E Shaw, and Steve Cohen’s Point72 Asset Management.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as D.R. Horton, Inc. (NYSE:DHI) but similarly valued. We will take a look at Extra Space Storage, Inc. (NYSE:EXR), CGI Group Inc. (USA) (NYSE:GIB), Alliance Data Systems Corporation (NYSE:ADS), and Motorola Solutions Inc (NYSE:MSI). This group of stocks’ market valuations match DHI’s market valuation.

As you can see these stocks had an average of 24 funds with bullish positions and the average amount invested in these stocks was $717 million. That figure was $1.10 billion in DHI’s case. Alliance Data Systems Corporation (NYSE:ADS) is the most popular stock in this table with 32 funds holding shares. On the other hand, CGI Group Inc. (USA) (NYSE:GIB) is the least popular one with only 16 bullish hedge fund positions. Compared to these stocks D.R. Horton, Inc. (NYSE:DHI) 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.