Is Petroleo Brasileiro SA Petrobras (ADR) (PBR) A Good Stock to Buy? Top Investors Think So

Now, some big names were leading the bulls’ herd. Discovery Capital Management assembled the most valuable position in Petroleo Brasileiro SA Petrobras (ADR) (NYSE:PBR) The other funds with new positions in the stock are Alan Howard’s Brevan Howard, George Soros’ Soros Fund Management, and Ken Griffin’s Citadel Investment Group.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry asPetroleo Brasileiro SA Petrobras (ADR) (NYSE:PBR) but similarly valued. We will take a look at Suncor Energy Inc. (USA) (NYSE:SU), Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA), EOG Resources Inc (NYSE:EOG), and Canadian National Railway (USA) (NYSE:CNI). This group of stocks’ market valuations are closest to PBR’s market valuation.

As you can see these stocks had an average of 36 hedge funds with bullish positions and the average amount invested in these stocks was $1.95 billion. That figure was $1.03 billion in PBR’s case. Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) is the most popular stock in this table. On the other hand Canadian National Railway (USA) (NYSE:CNI) is the least popular one with only 17 bullish hedge fund positions. Petroleo Brasileiro SA Petrobras (ADR) (NYSE:PBR) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard TEVA or EOG might be better candidates to consider long positions in.

Disclosure: None