Is Finisar Corporation (FNSR) A Good Stock To Buy?

Now, key money managers were breaking ground themselves. Balyasny Asset Management, managed by Dmitry Balyasny, established the biggest position in Finisar Corporation (NASDAQ:FNSR). Balyasny Asset Management had $6.4 million invested in the company at the end of the quarter. Ken Griffin’s Citadel Investment Group also made a $6.3 million investment in the stock during the quarter. The other funds with brand new FNSR positions are Principal Global Investors’s Columbus Circle Investors, Mike Vranos’s Ellington, and Charles Davidson’s Wexford Capital.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Finisar Corporation (NASDAQ:FNSR) but similarly valued. We will take a look at KBR, Inc. (NYSE:KBR), Groupon Inc (NASDAQ:GRPN), Balchem Corporation (NASDAQ:BCPC), and Western Refining, Inc. (NYSE:WNR). This group of stocks’ market caps are closest to FNSR’s market cap.

As you can see these stocks had an average of 20.75 hedge funds with bullish positions and the average amount invested in these stocks was $276 million. That figure was $418 million in FNSR’s case. Western Refining, Inc. (NYSE:WNR) is the most popular stock in this table. On the other hand Balchem Corporation (NASDAQ:BCPC) is the least popular one with only 8 bullish hedge fund positions. Finisar Corporation (NASDAQ:FNSR) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard WNR might be a better candidate to consider a long position.