Total System Services, Inc. (TSS): Are Hedge Funds Right About This Stock?

As aggregate interest increased, some big names were breaking ground themselves. Alkeon Capital Management, managed by Panayotis Takis Sparaggis, initiated the most valuable position in Total System Services, Inc. (NYSE:TSS). Alkeon Capital Management had $23.9 million invested in the company at the end of the quarter. David Harding’s Winton Capital Management also made a $2.3 million investment in the stock during the quarter. The following funds were also among the new TSS investors: Steve Cohen’s Point72 Asset Management, Matthew Hulsizer’s PEAK6 Capital Management, and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.

Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Total System Services, Inc. (NYSE:TSS) but similarly valued. We will take a look at Lear Corporation (NYSE:LEA), International Flavors & Fragrances Inc (NYSE:IFF), J.B. Hunt Transport Services, Inc. (NASDAQ:JBHT), and Pembina Pipeline Corp (NYSE:PBA). All of these stocks’ market caps are closest to TSS’s market cap.

As you can see these stocks had an average of 24 hedge funds with bullish positions and the average amount invested in these stocks was $365 million. That figure was $218 million in TSS’s case. Lear Corporation (NYSE:LEA) is the most popular stock in this table. On the other hand Pembina Pipeline Corp (NYSE:PBA) is the least popular one with only 9 bullish hedge fund positions. Total System Services, Inc. (NYSE:TSS) 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 LEA might be a better candidate to consider a long position.