SunTrust Banks, Inc. (STI) Dips On Earnings Beat; Is Now The Time To Buy?

What have hedge funds been doing with SunTrust Banks, Inc. (NYSE:STI)?

Heading into the second quarter, a total of 34 of the hedge funds tracked by Insider Monkey held long positions in this stock, an increase of five from the previous quarter. With hedgies’ positions undergoing their usual ebb and flow, there exists a select group of key hedge fund managers who were upping their stakes substantially.

Of the funds tracked by Insider Monkey, Balyasny Asset Management, managed by Dmitry Balyasny, holds the most valuable position in SunTrust Banks, Inc. (NYSE:STI). Balyasny Asset Management has a $40.2 million position in the stock with 979,305 shares, comprising 0.3% of its 13F portfolio. The second-largest stake is held by Winton Capital Management, managed by David Harding, which holds a $36.3 million position of 883,246 shares; the fund has 0.3% of its 13F portfolio invested in the stock as well. Some other members of the smart money that are bullish comprise Neil Chriss’ Hutchin Hill Capital, Mark Lee’s Forest Hill Capital, and Ken Griffin‘s Citadel Investment Group.

Consequently, specific money managers have jumped into SunTrust Banks, Inc. (NYSE:STI) headfirst. Stevens Capital Management, managed by Matthew Tewksbury, established the most valuable position in SunTrust Banks, Inc. (NYSE:STI) during the first quarter, holding a $13.5 million position in the company by the end of it. Kenneth Tropin’s Graham Capital Management also initiated a $9.4 million position during the quarter. The other funds with new positions in the stock are Gregg Moskowitz’s Interval Partners, George Hall’s Clinton Group, and Paul Tudor Jones’ Tudor Investment Corp.

Considering positive hedge fund sentiment and better-than-expected quarterly results, we recommend a buy rating for the shares of the company, especially in light of their dip today.

Disclosure: None