Is Interpublic Group of Companies Inc (IPG) a Good Stock To Buy?

Due to the fact that Interpublic Group of Companies Inc (NYSE:IPG) has experienced declining sentiment from the smart money, it’s easy to see that there exists a select few fund managers that decided to sell off their entire stakes heading into Q4. Interestingly, Jim Simons’ Renaissance Technologies said goodbye to the biggest position of the “upper crust” of funds watched by Insider Monkey, totaling about $63.6 million in stock, and Clint Carlson’s Carlson Capital was right behind this move, as the fund sold off about $19.3 million worth of shares.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Interpublic Group of Companies Inc (NYSE:IPG) but similarly valued. These stocks are Lincoln National Corporation (NYSE:LNC), Wynn Resorts, Limited (NASDAQ:WYNN), Duke Realty Corp (NYSE:DRE), and Snap-on Incorporated (NYSE:SNA). All of these stocks’ market caps match IPG’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
LNC 24 668282 0
WYNN 38 2245380 8
DRE 11 44166 1
SNA 27 651564 -1

As you can see these stocks had an average of 25 hedge funds with bullish positions and the average amount invested in these stocks was $902 million. That figure was $1.27 billion in IPG’s case. Wynn Resorts, Limited (NASDAQ:WYNN) is the most popular stock in this table. On the other hand Duke Realty Corp (NYSE:DRE) is the least popular one with only 11 bullish hedge fund positions. Interpublic Group of Companies Inc (NYSE:IPG) 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 WYNN might be a better candidate to consider a long position.

Disclosure: None