Is Kennametal Inc. (KMT) Going to Burn These Hedge Funds?

Consequently, specific money managers have jumped into Kennametal Inc. (NYSE:KMT) headfirst. Adage Capital Management, run by Phill Gross and Robert Atchinson, assembled the biggest position in Kennametal Inc. (NYSE:KMT). The fund reportedly had $29.8 million invested in the company at the end of the quarter. Steve Cohen’s Point72 Asset Management also initiated a $27.3 million position during the quarter. The other funds with new positions in the stock are Alexander Mitchell’s Scopus Asset Management, Dmitry Balyasny’s Balyasny Asset Management, and Jonathan Barrett and Paul Segal’s Luminus Management.

Let’s check out hedge fund activity in other stocks similar to Kennametal Inc. (NYSE:KMT). We will take a look at Anixter International Inc. (NYSE:AXE), M/A-COM Technology Solutions Holdings (NASDAQ:MTSI), Triumph Group Inc (NYSE:TGI), and ExlService Holdings, Inc. (NASDAQ:EXLS). This group of stocks’ market caps resemble KMT’s market cap.

As you can see these stocks had an average of 15 hedge funds with bullish positions and the average amount invested in these stocks was $176 million. That figure was an impressive $563 million in KMT’s case. Anixter International Inc. (NYSE:AXE) is the most popular stock in this table. On the other hand ExlService Holdings, Inc. (NASDAQ:EXLS) is the least popular one with only 8 bullish hedge fund positions. Compared to these stocks Kennametal Inc. (NYSE:KMT) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: none.