Lear Corporation (LEA): Are Hedge Funds Right About This Stock?

Consequently, specific money managers have been driving this bullishness. Blue Mountain Capital, managed by Andrew Feldstein and Stephen Siderow, initiated the most valuable position in Lear Corporation (NYSE:LEA). Blue Mountain Capital had $42.9 million invested in the company at the end of the quarter. Phill Gross and Robert Atchinson’s Adage Capital Management also initiated a $10.9 million position during the quarter. The other funds with brand new LEA positions are Noam Gottesman’s GLG Partners, Neil Chriss’ Hutchin Hill Capital, and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.

Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Lear Corporation (NYSE:LEA) but similarly valued. We will take a look at International Flavors & Fragrances Inc (NYSE:IFF), J.B. Hunt Transport Services, Inc. (NASDAQ:JBHT), Pembina Pipeline Corp (NYSE:PBA), and F5 Networks, Inc. (NASDAQ:FFIV). This group of stocks’ market values are similar to LEA’s market value.

As you can see these stocks had an average of 22 hedge funds with bullish positions and the average amount invested in these stocks was $299 million, below the $872 million figure in LEA’s case. J.B. Hunt Transport Services, Inc. (NASDAQ:JBHT) is the most popular stock in this table with 32 funds reporting stakes. On the other hand Pembina Pipeline Corp (NYSE:PBA) is the least popular one. Compared to these stocks Lear Corporation (NYSE:LEA) 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.