Is Newfield Exploration Co. (NFX) A Good Stock To Buy?

Because Newfield Exploration Co. (NYSE:NFX) has experienced a bearish sentiment from hedge fund managers, we can see that there were a few funds that decided to sell off their full holdings heading into Q4. Interestingly, Alec Litowitz and Ross Laser’s Magnetar Capital said goodbye to the biggest position of the “upper crust” of funds followed by Insider Monkey, comprising close to $76 million in stock. George Soros’s fund, Soros Fund Management, also dropped its stock, about $39.7 million worth of shares. These transactions are interesting, as aggregate hedge fund interest was cut by 12 funds heading into Q4.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Newfield Exploration Co. (NYSE:NFX) but similarly valued. We will take a look at Enable Midstream Partners LP (NYSE:ENBL), Liberty Broadband Corp (NASDAQ:LBRDA), Hain Celestial Group, Inc. (NASDAQ:HAIN), and AMC Networks Inc (NASDAQ:AMCX). This group of stocks’ market caps matches Newfield Exploration Co. (NYSE:NFX)’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
ENBL 4 599 2
LBRDA 25 321759 -5
HAIN 29 416389 14
AMCX 24 470590 5

As you can see, these stocks had an average of 21 hedge funds with bullish positions and the average amount invested in these stocks was $302 million. That figure was $769 million in Newfield Exploration Co. (NYSE:NFX)’s case. Hain Celestial Group, Inc. (NASDAQ:HAIN) is the most popular stock in this table. On the other hand, Enable Midstream Partners LP (NYSE:ENBL) is the least popular one with only 4 bullish hedge fund positions. Compared to these stocks, Newfield Exploration Co. (NYSE:NFX) 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.