Schnitzer Steel Industries, Inc. (SCHN) Jumps After Losses: What Do Hedge Funds Thing Of The Stock?

What have hedge funds been doing with Schnitzer Steel Industries, Inc. (NASDAQ:SCHN)?

By March 31, a total of 18 of the hedge funds tracked by Insider Monkey were long in this stock, a change of 20% from the fourth quarter. The aggregate value of their investments, however, dropped significantly to $78.62 million by the end of March from $134.86 million the prior quarter.

Among hedge funds followed by Insider Monkey, Peter Schliemann‘s Rutabaga Capital Management had the most valuable position in Schnitzer Steel Industries, Inc. (NASDAQ:SCHN) with 1.50 million shares shares worth close to $23.8 million, accounting for 2.4% of its total 13F portfolio. Coming in second is Pzena Investment Management, managed by Richard S. Pzena, which held 1.05 million shares share. Other members of the smart money with long positions are Chuck Royce’s Royce & Associates, Jim Simons’s Renaissance Technologies and J. Carlo Cannell’s Cannell Capital.

Consequently, a number of investors initiated substantial long positions. D.E. Shaw & Co., L.P., managed by David. E. Shaw, established the most outsized position in Schnitzer Steel Industries, Inc. (NASDAQ:SCHN), which contains 133,060 shares. Peter Muller’s PDT Partners also disclosed a new stake consisting of 69,080 shares. Some other funds with brand new SCHN positions are John Thiessen’s Vertex One Asset Management, John Overdeck and David Siegel’s Two Sigma Advisors, and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.

Because of the sizeable decline in the aggregate value of hedge fund holdings’, even though more hedge funds held long positions by the end of the first quarter, and given the firm’s disappointing performance for the previous quarter, we conclude that Schnitzer Steel Industries, Inc. (NASDAQ:SCHN) may not be the best stock to buy at the moment.

Disclosure: None