Is PG&E Corporation (PCG) Going to Burn These Hedge Funds?

Due to the fact that PG&E Corporation (NYSE:PCG) has witnessed declining sentiment from the entirety of the hedge funds we track, it’s easy to see that there is a sect of hedge funds that decided to sell off their entire stakes heading into Q4. Interestingly, Jonathan Barrett and Paul Segal’s Luminus Management sold off the biggest position of all the hedgies followed by Insider Monkey, totaling close to $81.8 million in stock, and Glenn Russell Dubin’s Highbridge Capital Management was right behind this move, as the fund dropped about $33.5 million worth of PCG shares. These transactions are important to note, as aggregate hedge fund interest dropped by 3 funds heading into Q4.

Let’s now review hedge fund activity in other stocks similar to PG&E Corporation (NYSE:PCG). We will take a look at Prudential Financial Inc (NYSE:PRU), Liberty Global PLC LiLAC Class C (NASDAQ:LILAK), Air Products & Chemicals, Inc. (NYSE:APD), and Wipro Limited (ADR) (NYSE:WIT). This group of stocks’ market values match PCG’s market value.

As you can see these stocks had an average of 34 hedge funds with bullish positions and the average amount invested in these stocks was $1.48 billion. That figure was $1.09 billion in PCG’s case. Air Products & Chemicals, Inc. (NYSE:APD) is the most popular stock in this table. On the other hand Wipro Limited (ADR) (NYSE:WIT) is the least popular one with only 8 bullish hedge fund positions. PG&E Corporation (NYSE:PCG) 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 APD might be a better candidate to consider taking a long position in.

Disclosure: None