Kforce Inc. (KFRC): Hedge Funds Are Snapping Up

As one would reasonably expect, key money managers were leading the bulls’ herd. Driehaus Capital, managed by Richard Driehaus, assembled the largest position in Kforce Inc. (NASDAQ:KFRC), worth some $3.6 million at the end of the quarter. Paul Marshall and Ian Wace’s Marshall Wace LLP also made a $0.6 million investment in the stock during the quarter. The other funds with new positions in the stock are Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital, Joel Greenblatt’s Gotham Asset Management, and Peter Algert and Kevin Coldiron’s Algert Coldiron Investors.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Kforce Inc. (NASDAQ:KFRC) but similarly valued. These stocks are Square 1 Financial Inc (NASDAQ:SQBK), Coherus Biosciences Inc (NASDAQ:CHRS), Rexford Industrial Realty Inc (NYSE:REXR), and Zoe’s Kitchen Inc (NYSE:ZOES). This group of stocks’ market valuations match KFRC’s market valuation.

As you can see these stocks had an average of 112 hedge funds with bullish positions and the average amount invested in these stocks was $110 million. That figure was $71 million in KFRC’s case, not a positive sign. Coherus Biosciences Inc (NASDAQ:CHRS) is leading the pack, while Rexford Industrial Realty Inc (NYSE:REXR) is the least popular one with only 7 bullish hedge fund positions. Kforce Inc. (NASDAQ:KFRC) clearly outshines them all, with 20 hedgies betting on it. 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.