As industrywide interest jumped, key hedge funds have been driving this bullishness. Cove Street Capital initiated the largest position in LSI Industries, Inc. (NASDAQ:LYTS). Cove Street Capital had $1.2 million invested in the company at the end of the quarter. Ken Grossman and Glen Schneider’s SG Capital Management also initiated a $0.8 million position during the quarter. The only other fund with a new position in the stock is D E Shaw.
Let’s go over hedge fund activity in other stocks similar to LSI Industries, Inc. (NASDAQ:LYTS). We will take a look at Trecora Resources (NYSE:TREC), Heritage Oaks Bancorp (NASDAQ:HEOP), Orchids Paper Products Company (NYSEAMEX:TIS), and Carolina Financial Corp (NASDAQ:CARO). This group of stocks’ market valuations resemble LYTS’s market valuation.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| TREC | 6 | 9798 | 0 |
| HEOP | 4 | 26403 | -1 |
| TIS | 2 | 12263 | -3 |
| CARO | 2 | 8642 | 0 |
As you can see these stocks had an average of 4 hedge funds with bullish positions and the average amount invested in these stocks was $14 million. That figure was $35 million in LYTS’s case. Trecora Resources (NYSE:TREC) is the most popular stock in this table. On the other hand Orchids Paper Products Company (NYSEAMEX:TIS) is the least popular one with only 2 bullish hedge fund positions. Compared to these stocks LSI Industries, Inc. (NASDAQ:LYTS) 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.
