Should You Buy TIER REIT Inc (TIER)?

As industrywide interest jumped, specific money managers were breaking ground themselves. Guardian Point Capital, led by Tim David, assembled the biggest position in TIER REIT Inc (NYSE:TIER). Guardian Point Capital had $3.1 million invested in the company at the end of the quarter. Howard Shainker and Akiva Katz’s Bow Street LLC also initiated a $0.5 million position during the quarter. The other funds with new positions in the stock are Mike Vranos’s Ellington and Bruce Silver’s Silver Capital Management LLC.

Let’s also examine hedge fund activity in other stocks similar to TIER REIT Inc (NYSE:TIER). These stocks are Virtusa Corporation (NASDAQ:VRTU), CEVA, Inc. (NASDAQ:CEVA), Speedway Motorsports, Inc. (NYSE:TRK), and Piper Jaffray Companies (NYSE:PJC). This group of stocks’ market valuations are closest to TIER’s market valuation.

As you can see these stocks had an average of 10 hedge funds with bullish positions and the average amount invested in these stocks was $42 million. That figure was $42 million in TIER’s case. CEVA, Inc. (NASDAQ:CEVA) is the most popular stock in this table. On the other hand Virtusa Corporation (NASDAQ:VRTU) is the least popular one with only 7 bullish hedge fund positions. TIER REIT Inc (NYSE:TIER) is not the most popular stock in this group but hedge fund interest is still above average. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard CEVA might be a better candidate to consider taking a long position in.