Is Telephone & Data Systems, Inc. (TDS) a Good Stock to Buy?

We already know that not all hedge funds are bullish on the stock and some hedge funds actually sold off their positions entirely. Intriguingly, Glenn Russell Dubin’s Highbridge Capital Management sold off the largest investment of all the investors followed by Insider Monkey, valued at an estimated $3.7 million in stock, and Matthew Hulsizer’s PEAK6 Capital Management was right behind this move, as the fund sold off about $0.9 million worth of shares.

Let’s now take a look at hedge fund activity in other stocks – not necessarily in the same industry as Telephone & Data Systems, Inc. (NYSE:TDS) but similarly valued. These stocks are Blackbaud, Inc. (NASDAQ:BLKB), Eldorado Gold Corp (USA) (NYSE:EGO), Rayonier Inc. (NYSE:RYN), and Urban Outfitters, Inc. (NASDAQ:URBN). All of these stocks’ market caps are closest to TDS’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
BLKB 14 126784 4
EGO 19 111699 0
RYN 15 346535 5
URBN 25 271624 0

As you can see these stocks had an average of 18 funds with bullish positions and the average amount invested in these stocks was $214 million. That figure was $263 million in TDS’s case. Urban Outfitters, Inc. (NASDAQ:URBN) is the most popular stock in this table. On the other hand Blackbaud, Inc. (NASDAQ:BLKB) is the least popular one with only 14 bullish hedge fund positions. Telephone & Data Systems, Inc. (NYSE:TDS) 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 Urban Outfitters, Inc. (NASDAQ:URBN) might be a better candidate to consider taking a long position in.

Disclosure: none