Is Texas Pacific Land Trust (TPL) A Good Stock To Buy?

Let’s now review hedge fund activity in other stocks similar to Texas Pacific Land Trust (NYSE:TPL). These stocks are MicroStrategy Incorporated (NASDAQ:MSTR), Deckers Outdoor Corp (NASDAQ:DECK), Fortress Investment Group LLC (NYSE:FIG), and Qunar Cayman Islands Ltd (NASDAQ:QUNR). This group of stocks’ market valuations resemble TPL’s market valuation.

As you can see these stocks had an average of 17 hedge funds with bullish positions and the average amount invested in these stocks was $164 million. That figure was $444 million in TPL’s case. MicroStrategy Incorporated (NASDAQ:MSTR) is the most popular stock in this table. On the other hand Qunar Cayman Islands Ltd (NASDAQ:QUNR) is the least popular one with only seven bullish hedge fund positions. Compared to these stocks Texas Pacific Land Trust (NYSE:TPL) registered the same number of bullish investors as QUNR. Considering that hedge funds aren’t fond of this stock in relation to the majority of the 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