Is Quorum Health Corp (QHC) A Good Stock To Buy?

Judging by the fact that Quorum Health Corp (NYSE:QHC) has experienced falling interest from the entirety of the hedge funds we track, it’s easy to see that there is a sect of hedgies that slashed their full holdings by the end of the third quarter. It’s worth mentioning that David Tepper’s Appaloosa Management LP said goodbye to the largest stake of the 700 funds studied by Insider Monkey, valued at an estimated $8.3 million in stock. Benjamin A. Smith’s fund, Laurion Capital Management, also dumped its stock, about $1.3 million worth.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Quorum Health Corp (NYSE:QHC) but similarly valued. These stocks are Inventure Foods Inc (NASDAQ:SNAK), Hurco Companies, Inc. (NASDAQ:HURC), Advent Claymore Convertible Securities and Income Fund of Beneficial Interest (NYSE:AGC), and Pendrell Corporation – Class A (NASDAQ:PCO). This group of stocks’ market values are closest to QHC’s market value.

As you can see these stocks had an average of 6 hedge funds with bullish positions and the average amount invested in these stocks was $31 million. That figure was $46 million in QHC’s case. Pendrell Corporation – Class A (NASDAQ:PCO) is the most popular stock in this table. On the other hand Advent Claymore Convertible Securities and Income Fund of Beneficial Interest (NYSE:AGC) is the least popular one with only 4 bullish hedge fund positions. Compared to these stocks Quorum Health Corp (NYSE:QHC) 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