Is Xerium Technologies, Inc. (XRM) A Good Stock To Buy?

As one would reasonably expect, specific money managers have been driving this bullishness. Wynnefield Capital, led by Nelson Obus, established the largest position in Xerium Technologies, Inc. (NYSE:XRM). Wynnefield Capital had $2.3 million invested in the company at the end of the quarter. Chao Ku’s Nine Chapters Capital Management also initiated a $0.1 million position during the quarter.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Xerium Technologies, Inc. (NYSE:XRM) but similarly valued. We will take a look at Corium International Inc (NASDAQ:CORI), Delta Apparel, Inc. (NYSEMKT:DLA), ArQule, Inc. (NASDAQ:ARQL), and Strattec Security Corp. (NASDAQ:STRT). This group of stocks’ market values resemble XRM’s market value.

As you can see these stocks had an average of four funds with bullish positions and the average amount invested in these stocks was $24 million. That figure was $18 million in XRM’s case. ArQule, Inc. (NASDAQ:ARQL) is the most popular stock in this table. On the other hand Delta Apparel, Inc. (NYSEAMEX:DLA) is the least popular one with only two bullish hedge fund positions. Compared to these stocks Xerium Technologies, Inc. (NYSE:XRM) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None.