Is Renren Inc (RENN) A Good Stock to Buy?

Consequently, specific money managers were breaking ground themselves. Jim Simons’ Renaissance Technologies initiated the largest position in Renren Inc (NYSE:RENN). Renaissance Technologies had $0.3 million invested in the company at the end of the quarter. BlueCrest Capital Mgmt. also made a $0.2 million investment in the stock during the quarter. The only other fund with a brand new RENN position was Citadel Investment Group.

Let’s also examine hedge fund activity in other stocks similar to Renren Inc (NYSE:RENN). We will take a look at SunCoke Energy Partners LP (NYSE:SXCP), Greenhill & Co., Inc. (NYSE:GHL), New Media Investment Group Inc (NYSE:NEWM), and Quality Systems, Inc. (NASDAQ:QSII). This group of stocks’ market caps match RENN’s market cap.

As you can see these stocks had an average of 13 hedge funds with bullish positions and the average amount invested in these stocks was $53 million. That figure was just $3 million in RENN’s case. New Media Investment Group Inc (NYSE:NEWM) is the most popular stock in this table. On the other hand SunCoke Energy Partners LP (NYSE:SXCP) is the least popular one with only 3 bullish hedge fund positions. Renren Inc (NYSE:RENN) 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 NEWM might be a better candidate to consider taking a long position in.

Disclosure: None