Triumph Group Inc (TGI): Should It Be Part of Your Portfolio?

Judging by the fact that Triumph Group Inc (NYSE:TGI) has experienced falling interest from the smart money, we can see that there lies a certain “tier” of hedge funds that elected to cut their positions entirely in the third quarter. Interestingly, David Tepper’s Appaloosa Management LP dumped the largest investment of all the hedgies followed by Insider Monkey, valued at an estimated $35.6 million in stock. Doug Gordon, Jon Hilsabeck and Don Jabro’s fund, Shellback Capital, also sold off its stock, about $18 million worth.

Let’s now take a look at hedge fund activity in other stocks similar to Triumph Group Inc (NYSE:TGI). These stocks are ExlService Holdings, Inc. (NASDAQ:EXLS), Evercore Partners Inc. (NYSE:EVR), Enbridge Energy Management, L.L.C. (NYSE:EEQ), and Colony Financial Inc (NYSE:CLNY). This group of stocks’ market values match TGI’s market value.

As you can see these stocks had an average of 15 funds with bullish positions and the average amount invested in these stocks was $150 million. That figure was $125 million in TGI’s case. Colony Financial Inc (NYSE:CLNY) is the most popular stock in this table. On the other hand Enbridge Energy Management, L.L.C. (NYSE:EEQ) is the least popular one with only six investors holding shares. Triumph Group Inc (NYSE:TGI) 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 Colony Financial Inc (NYSE:CLNY) might be a better candidate to consider taking a long position in.

Disclosure: none