JD.Com Inc (ADR) (JD) Sinking on SEC Probe of Alibaba

Seeing as JD.Com Inc (ADR) (NASDAQ:JD) has faced bearish sentiment from the smart money, we can see that there lies a certain “tier” of money managers who sold off their positions entirely last quarter. It’s worth mentioning that Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital sold off the largest position of all the hedgies followed by Insider Monkey, valued at about $138 million in stock. Eric W. Mandelblatt’s fund, Soroban Capital Partners, also dumped its stock, about $137.5 million worth. These transactions are interesting, as total hedge fund interest was cut by 5 funds last quarter.

Let’s also examine hedge fund activity in other stocks similar to JD.Com Inc (ADR) (NASDAQ:JD). These stocks are Pioneer Natural Resources (NYSE:PXD), Hormel Foods Corporation (NYSE:HRL), TE Connectivity Ltd. (NYSE:TEL), and Fiserv, Inc. (NASDAQ:FISV). This group of stocks’ market caps are similar to JD’s market cap.

As you can see these stocks had an average of 33 hedge funds with bullish positions and the average amount invested in these stocks was $1.20 billion. That figure was $9.11 billion in JD’s case. Pioneer Natural Resources (NYSE:PXD) is the most popular stock in this table. On the other hand Hormel Foods Corporation (NYSE:HRL) is the least popular one with only 21 bullish hedge fund positions. Compared to these stocks JD.Com Inc (ADR) (NASDAQ:JD) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers and have a ton of money invested in it, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None