Should You Avoid Carrols Restaurant Group, Inc. (TAST)?

Now that we’ve mentioned the most bullish investors, let’s also take a look at some funds that dropped their entire stakes in the stock during the third quarter. It’s worth mentioning that Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital dropped the biggest position of the 700 funds studied by Insider Monkey, comprising close to $1.9 million in stock, and Paul Marshall and Ian Wace’s Marshall Wace LLP was right behind this move, as the fund dropped about $1.5 million worth of shares.

Let’s also examine hedge fund activity in other stocks similar to Carrols Restaurant Group, Inc. (NASDAQ:TAST). We will take a look at Myers Industries, Inc. (NYSE:MYE), Geron Corporation (NASDAQ:GERN), Kimball International Inc (NASDAQ:KBAL), and TubeMogul Inc (NASDAQ:TUBE). This group of stocks’ market valuations are similar to TAST’s market valuation.

As you can see these stocks had an average of 7 hedge funds with bullish positions and the average amount invested in these stocks was $35 million. That figure was $110 million in TAST’s case. Myers Industries, Inc. (NYSE:MYE) is the most popular stock in this table. On the other hand Geron Corporation (NASDAQ:GERN) is the least popular one with only 5 bullish hedge fund positions. Compared to these stocks Carrols Restaurant Group, Inc. (NASDAQ:TAST) 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.

Disclosure: None