Is New York Times Company (NYT) A Good Stock To Buy?

Now, key hedge funds have jumped into The New York Times Company (NYSE:NYT) headfirst. Parag Vora’s HG Vora Capital Management assembled the largest position in The New York Times Company (NYSE:NYT). According to its latest 13F filing, the fund had $18.3 million invested in the company at the end of the quarter. Israel Englander’s Millennium Management also made a $2.1 million investment in the stock during the quarter. The other funds with brand new NYT positions are Matthew Tewksbury’s Stevens Capital Management, Paul Tudor Jones’s Tudor Investment Corp, and George Hall’s Clinton Group.

Let’s now review hedge fund activity in other stocks similar to The New York Times Company (NYSE:NYT). These stocks are Xenia Hotels & Resorts Inc (NYSE:XHR), Grupo Aeroportuario del Centro Nort (ADR) (NASDAQ:OMAB), Summit Materials Inc (NYSE:SUM), and Chemtura Corp (NYSE:CHMT). This group of stocks’ market caps are similar to NYT’s market cap.

As you can see these stocks had an average of 18 hedge funds with bullish positions and the average amount invested in these stocks was $213 million. That figure was $248 million in NYT’s case. Summit Materials Inc (NYSE:SUM) is the most popular stock in this table, whereas Grupo Aeroportuario del Centro Nort (ADR) (NASDAQ:OMAB) is the least popular one with only 5 bullish hedge fund positions. The New York Times Company (NYSE:NYT) is not the most popular stock in this group, but hedge fund interest is still above average. While we view this as a slightly positive signal, we’d rather spend our time researching stocks that hedge funds are piling on. In this regard SUM might be a better candidate to consider a long position.