Is RSP Permian Inc (RSPP) A Good Stock To Buy?

As one would reasonably expect, specific money managers were breaking ground themselves. Point72 Asset Management, managed by Steve Cohen, initiated the biggest position in RSP Permian Inc (NYSE:RSPP). Point72 Asset Management had $2.6 million invested in the company at the end of the quarter. Robert Vollero and Gentry T. Beach’s Vollero Beach Capital Partners also made a $2.6 million investment in the stock during the quarter. The other funds with brand new RSPP positions are Lawrence Sapanski’s Scoria Capital, Mike Vranos’s Ellington, and Benjamin A. Smith’s Laurion Capital Management.

Let’s also examine hedge fund activity in other stocks similar to RSP Permian Inc (NYSE:RSPP). These stocks are West Corp (NASDAQ:WSTC), OM Asset Management PLC (NYSE:OMAM), South State Corporation (NASDAQ:SSB), and Science Applications International Corp (NYSE:SAIC). All of these stocks’ market caps match RSPP’s market cap.

As you can see these stocks had an average of 15.25 hedge funds with bullish positions and the average amount invested in these stocks was $94 million. That figure was $208 million in RSPP’s case. Science Applications International Corp (NYSE:SAIC) is the most popular stock in this table. On the other hand South State Corporation (NASDAQ:SSB) is the least popular one with only 12 bullish hedge fund positions. RSP Permian Inc (NYSE:RSPP) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard SAIC might be a better candidate to consider a long position.