Is Smart Money Turning More Positive on Bed Bath & Beyond Inc. (BBBY)?

As aggregate interest increased, specific money managers have been driving this bullishness. Tremblant Capital, managed by Brett Barakett, established the most valuable call position in Bed Bath & Beyond Inc. (NASDAQ:BBBY). Tremblant Capital had $25.9 million invested in the company at the end of the quarter. Ken Griffin’s Citadel Investment Group also initiated a $7.7 million position during the quarter. The following funds were also among the new BBBY investors: Brett Barakett’s Tremblant Capital, Matthew Tewksbury’s Stevens Capital Management, and Glenn Russell Dubin’s Highbridge Capital Management.

Let’s also examine hedge fund activity in other stocks similar to Bed Bath & Beyond Inc. (NASDAQ:BBBY). These stocks are Avery Dennison Corp (NYSE:AVY), Shire PLC (ADR) (NASDAQ:SHPG), Signature Bank (NASDAQ:SBNY), and Allegion PLC (NYSE:ALLE). This group of stocks’ market valuations resemble BBBY’s market valuation.

As you can see these stocks had an average of 36 hedge funds with bullish positions and the average amount invested in these stocks was $1.33 billion. That figure was just $220 million in BBBY’s case. Shire PLC (ADR) (NASDAQ:SHPG) is the most popular stock in this table. On the other hand Signature Bank (NASDAQ:SBNY) is the least popular one with only 29 bullish hedge fund positions. Compared to these stocks Bed Bath & Beyond Inc. (NASDAQ:BBBY) is even less popular than Signature Bank (NASDAQ:SBNY). 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.

Disclosure: None