Luxoft Holding Inc (LXFT): Are Hedge Funds Right About This Stock?

We already know that not all hedge funds are bullish on the stock and some hedge funds actually dumped their positions entirely. It’s worth mentioning that Alok Agrawal’s Bloom Tree Partners dumped the largest investment of all the hedgies followed by Insider Monkey, worth an estimated $6.4 million in stock, and Gunnar Overstrom’s Three Corner Global Investors was right behind this move, as the fund said goodbye to about $2.8 million worth of shares.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Luxoft Holding Inc (NYSE:LXFT) but similarly valued. We will take a look at CEB Inc. (NYSE:CEB), Imperva Inc (NYSE:IMPV), Stag Industrial Inc (NYSE:STAG), and Impax Laboratories Inc (NASDAQ:IPXL). This group of stocks’ market valuations are similar to LXFT’s market valuation.

As you can see these stocks had an average of 17 hedge funds with bullish positions and the average amount invested in these stocks was $232 million. That figure was $58 million in LXFT’s case. Imperva Inc (NYSE:IMPV) is the most popular stock in this table. On the other hand Stag Industrial Inc (NYSE:STAG) is the least popular one with only 6 bullish hedge fund positions. Luxoft Holding Inc (NYSE:LXFT) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard IMPV might be a better candidate to consider taking a long position in.

Disclosure: none