Is It Time to Sell The Ensign Group, Inc. (ENSG)?

We already know that not all hedge funds are bullish on the stock and some hedge funds actually dumped their positions entirely. Intriguingly, Peter S. Park’s Park West Asset Management dumped the largest stake of the 700 funds followed by Insider Monkey, valued at about $15.3 million in stock, and Jim Simons’ Renaissance Technologies was right behind this move, as the fund said goodbye to about $1.7 million worth of shares.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as The Ensign Group, Inc. (NASDAQ:ENSG) but similarly valued. We will take a look at Hercules Technology Growth Capital Inc (NYSE:HTGC), Hannon Armstrong Sustnbl Infrstr Cap Inc (NYSE:HASI), S & T Bancorp Inc (NASDAQ:STBA), and National HealthCare Corporation (NYSEAMEX:NHC). All of these stocks’ market caps are closest to ENSG’s market cap.

As you can see these stocks had an average of 7 hedge funds with bullish positions and the average amount invested in these stocks was $23 million. That figure was $24 million in ENSG’s case. Hercules Technology Growth Capital Inc (NYSE:HTGC) is the most popular stock in this table. On the other hand Hannon Armstrong Sustnbl Infrstr Cap Inc (NYSE:HASI) is the least popular one with only 5 bullish hedge fund positions. The Ensign Group, Inc. (NASDAQ:ENSG) 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 HTGC might be a better candidate to consider taking a long position in.

Disclosure: None