Were the Bulls Wrong About Teekay LNG Partners L.P. (TGP)?

With general bullishness amongst the heavyweights, key hedge funds have been driving this bullishness. Renaissance Technologies initiated the most valuable position in Teekay LNG Partners L.P. (NYSE:TGP). Renaissance Technologies had $2.3 million invested in the company at the end of the quarter. Arrowstreet Capital also made a $1.3 million investment in the stock during the quarter.

Let’s also examine hedge fund activity in other stocks similar to Teekay LNG Partners L.P. (NYSE:TGP). These stocks are InterXion Holding NV (NYSE:INXN), Pegasystems Inc. (NASDAQ:PEGA), Bitauto Hldg Ltd (ADR) (NYSE:BITA), and Darling International Inc. (NYSE:DAR). All of these stocks’ market caps are similar to TGP’s market cap.

As you can see these stocks had an average of 22 hedge funds with bullish positions and the average amount invested in these stocks was $399 million. That figure was just $14 million in TGP’s case. InterXion Holding NV (NYSE:INXN) is the most popular stock in this table. On the other hand Bitauto Hldg Ltd (ADR) (NYSE:BITA) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks Teekay LNG Partners L.P. (NYSE:TGP) is even less popular than BITA. Considering that hedge funds aren’t fond of this stock in relation to other companies analyzed in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock, despite a small uptick in bullish investors during Q3.