We already know that not all hedge funds are bullish on the stock and some hedge funds actually cut their positions entirely. It’s worth mentioning that Paul Marshall and Ian Wace’s Marshall Wace LLP cut the biggest position of all the hedgies followed by Insider Monkey, comprising about $2.9 million in stock. First Eagle Investment Management also dropped its position, about $1.9 million worth.
Let’s go over hedge fund activity in other stocks similar to Unum Group (NYSE:UNM). These stocks are YPF SA (ADR) (NYSE:YPF), Lear Corporation (NYSE:LEA), Teck Resources Ltd (USA) (NYSE:TCK), and Torchmark Corporation (NYSE:TMK). All of these stocks’ market caps resemble UNM’s market cap.
|Ticker||No of HFs with positions||Total Value of HF Positions (x1000)||Change in HF Position|
As you can see these stocks had an average of 25.75 hedge funds with bullish positions and the average amount invested in these stocks was $629 million. That figure was $187 million in UNM’s case. Teck Resources Ltd (USA) (NYSE:TCK) is the most popular stock in this table. On the other hand YPF SA (ADR) (NYSE:YPF) is the least popular one with only 19 bullish hedge fund positions. Compared to these stocks Unum Group (NYSE:UNM) is even less popular than YPF. 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.