Is S & T Bancorp Inc (STBA) A Good Stock To Buy?

In addition, it’s worth mentioning that Israel Englander’s Millennium Management dropped the biggest position of all the hedgies tracked by Insider Monkey, totaling about $2 million in stock, and Ken Gray and Steve Walsh’s Bryn Mawr Capital was right behind this move, as the fund cut about $1.1 million worth of shares.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as S & T Bancorp Inc (NASDAQ:STBA) but similarly valued. These stocks are Momenta Pharmaceuticals, Inc. (NASDAQ:MNTA), Cubic Corporation (NYSE:CUB), Adeptus Health Inc (NYSE:ADPT), and Select Comfort Corp. (NASDAQ:SCSS). This group of stocks’ market valuations are closest to STBA’s market valuation.

As you can see these stocks had an average of 21 hedge funds with bullish positions and the average amount invested in these stocks was $186 million, compared to just $7 million in STBA’s case. Adeptus Health Inc (NYSE:ADPT) is the most popular stock in this table. On the other hand Cubic Corporation (NYSE:CUB) is the least popular one with only 16 bullish hedge fund positions. Compared to these stocks, S & T Bancorp Inc (NASDAQ:STBA) is significantly less popular even than CUB. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.