Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Is Dicks Sporting Goods Inc (DKS) a Good Buy?

Hedge funds run by legendary names like Nelson Peltz and David Tepper make billions of dollars a year for themselves and their super-rich accredited investors (you’ve got to have a minimum of $1 million liquid to invest in a hedge fund) by spending enormous resources on analyzing and uncovering data about small-cap stocks that the big brokerage houses don’t follow. Small caps are where they can generate significant out-performance. That’s why we pay special attention to hedge fund activity in these stocks.

Is Dicks Sporting Goods Inc (NYSE:DKS) the right pick for your portfolio? Prominent investors are taking a pessimistic view. The number of long hedge fund positions dropped by 6 recently. DKS was in 26 hedge funds’ portfolios at the end of September. There were 32 hedge funds in our database with DKS holdings at the end of the previous quarter. The level and the change in hedge fund popularity aren’t the only variables you need to analyze to decipher hedge funds’ perspectives. A stock may witness a boost in popularity but it may still be less popular than similarly priced stocks. That’s why at the end of this article we will examine companies such as Packaging Corp Of America (NYSE:PKG), Rollins, Inc. (NYSE:ROL), and Antero Resources Corp (NYSE:AR) to gather more data points.

Follow Dick's Sporting Goods Inc. (NYSE:DKS)
Trade (NYSE:DKS) Now!

With all of this in mind, let’s take a glance at the key action regarding Dicks Sporting Goods Inc (NYSE:DKS).

What does the smart money think about Dicks Sporting Goods Inc (NYSE:DKS)?

Heading into Q4, a total of 26 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of -19% from the previous quarter. With hedgies’ sentiment swirling, there exists an “upper tier” of notable hedge fund managers who were boosting their holdings meaningfully (or already accumulated large positions).

According to Insider Monkey’s hedge fund database, AQR Capital Management, managed by Cliff Asness, holds the biggest position in Dicks Sporting Goods Inc (NYSE:DKS). AQR Capital Management has a $75.9 million position in the stock, comprising 0.2% of its 13F portfolio. Coming in second is Balyasny Asset Management, led by Dmitry Balyasny, holding a $43.4 million position; 0.3% of its 13F portfolio is allocated to the stock. Other professional money managers that are bullish comprise D E Shaw, Glenn J. Krevlin’s Glenhill Advisors and Israel Englander’s Millennium Management.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.