What Smart Money Thinks About American Financial Group Inc (AFG)?

Due to the fact that American Financial Group Inc (NYSE:AFG) has faced a decline in interest from the aggregate hedge fund industry, it’s easy to see that there exists a select few fund managers who sold off their full holdings heading into fourth. Intriguingly, George Hall’s Clinton Group dumped the biggest stake of all the hedgies studied by Insider Monkey, totaling about $0.9 million in stock. Dmitry Balyasny’s fund, Balyasny Asset Management, also dropped its stock valued at about $0.6 million.

Let’s also examine hedge fund activity in other stocks similar to American Financial Group Inc (NYSE:AFG). We will take a look at Flextronics International Ltd. (NASDAQ:FLEX), Rollins, Inc. (NYSE:ROL), Liberty Media Corp (NASDAQ:LMCA), and Omega Healthcare Investors Inc (NYSE:OHI). This group of stocks’ market values resemble AFG’s market value.

As you can see these stocks had an average of 20 investors with bullish positions and the average amount invested in these stocks was $507 million, compared to $126 million in AFG’s case. Flextronics International Ltd. (NASDAQ:FLEX) is the most popular stock in this table, while Rollins, Inc. (NYSE:ROL) is the least popular one with only 11 bullish hedge fund positions. American Financial Group (NYSE:AFG) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard Flextronics International Ltd. (NASDAQ:FLEX) might be a better candidate to consider taking a long position in.

Disclosure: None