Clark Street Value sold its position in Front Yard Residential Corp (NYSE:RESI) stock. Clark Street Value is an individual investor that is focused on finding value and special situation investments. Front Yard Residential Corp (NYSE:RESI) is a real estate investment trust company. In the last one year, Front Yard Residential Corp (NYSE:RESI) stock gained 30.5% and on January 4th it had a closing price of $16.20.
Clark Street Value said that a consortium of private equity (Ares and Pretium) agreed to acquire Front Yard Residential Corp (NYSE:RESI) for $13.50 per share in October 2020. The investor sold its position in Front Yard Residential Corp (NYSE:RESI) stock after the acquisition news. However, the “the offer was bumped up to $16.25 after a better offer came to light. This could be the start of similar deals where post-covid the entity will be too subscale (MCC and CLNC are two potential examples) and there is plenty of private equity money out there willing to buy cheap real assets.”
In Q3 2020, the number of bullish hedge fund positions on Front Yard Residential Corp (NYSE:RESI) stock decreased by about 20% from the previous quarter (see the chart here), so a number of other hedge fund managers don’t believe in RESI’s growth potential. Our calculations showed that Front Yard Residential Corp (NYSE:RESI) isn’t ranked among the 30 most popular stocks among hedge funds.
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Video: Top 5 Stocks Among Hedge Funds
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