Should You Follow the Smart Money Into Ritchie Bros. Auctioneers (USA) (RBA)?

As aggregate interest increased, key money managers were breaking ground themselves. Columbus Circle Investors created the most outsized position in Ritchie Bros. Auctioneers (USA) (NYSE:RBA). Columbus Circle Investors had $10.4 million invested in the company at the end of the quarter. Ken Griffin’s Citadel Investment Group also initiated a $3.6 million position during the quarter. The other funds with new positions in the stock are Jim Simons’ Renaissance Technologies, Paul Marshall and Ian Wace’s Marshall Wace LLP, and Israel Englander’s Millennium Management.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Ritchie Bros. Auctioneers (USA) (NYSE:RBA) but similarly valued. These stocks are MAXIMUS, Inc. (NYSE:MMS), WGL Holdings Inc (NYSE:WGL), Telecom Argentina S.A. (ADR) (NYSE:TEO), and Tallgrass Energy GP LP (NYSE:TEGP). This group of stocks’ market caps are closest to RBA’s market cap.

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 $56 million. That figure was $184 million in RBA’s case. WGL Holdings Inc (NYSE:WGL) is the most popular stock in this table. On the other hand Tallgrass Energy GP LP (NYSE:TEGP) is the least popular one with only 6 bullish hedge fund positions. Compared to these stocks Ritchie Bros. Auctioneers (USA) (NYSE:RBA) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers and have a lot more money invested in it, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

Disclosure: None