Mid America Apartment Communities Inc (MAA): Are Hedge Funds Right About This Stock?

Consequently, key hedge funds were breaking ground themselves. Decade Capital Management, managed by Millennium Management Subsidiary, created the largest position in Mid America Apartment Communities Inc (NYSE:MAA). Decade Capital Management had $1.7 million invested in the company at the end of the quarter. Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital also initiated a $0.6 million position during the quarter. The other funds with brand new Mid America Apartment Communities Inc (NYSE:MAA) positions are David Costen Haley’s HBK Investments, Michael Platt and William Reeves’s BlueCrest Capital Mgmt., and Mike Vranos’s Ellington.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Mid America Apartment Communities Inc (NYSE:MAA) but similarly valued. We will take a look at Rite Aid Corporation (NYSE:RAD), Zayo Group Holdings Inc (NYSE:ZAYO), Fluor Corporation (NEW) (NYSE:FLR), and Pepco Holdings, Inc. (NYSE:POM). This group of stocks’ market values is similar to Mid America Apartment Communities Inc (NYSE:MAA)’s market value.

As you can see, these stocks had an average of 29 hedge funds with bullish positions and the average amount invested in these stocks was $460 million. That figure was $248 million in Mid America Apartment Communities Inc (NYSE:MAA)’s case. Rite Aid Corporation (NYSE:RAD) is the most popular stock in this table. On the other hand, Pepco Holdings, Inc. (NYSE:POM) is the least popular one with only 21 bullish hedge fund positions. Compared to these stocks, Mid America Apartment Communities Inc (NYSE:MAA) is even less popular than Pepco Holdings, Inc. (NYSE:POM). Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case, more research is warranted.