Workday Inc (WDAY): Are Hedge Funds Right About This Stock?

As one would reasonably expect, key hedge funds were breaking ground themselves. Millennium Management, managed by Israel Englander, created the most outsized position in Workday Inc (NYSE:WDAY). Millennium Management had $33.7 million invested in the company at the end of the quarter. Stanley Druckenmiller’s Duquesne Capital also initiated a $22 million position during the quarter. The following funds were also among the new WDAY investors: Ken Griffin’s Citadel Investment Group, Solomon Kumin’s Folger Hill Asset Management, and Peter Muller’s PDT Partners.

Let’s also examine hedge fund activity in other stocks similar to Workday Inc (NYSE:WDAY). These stocks are Credicorp Ltd. (USA) (NYSE:BAP), Parker-Hannifin Corporation (NYSE:PH), Entergy Corporation (NYSE:ETR), and DENTSPLY International Inc. (NASDAQ:XRAY). All of these stocks’ market caps are closest to WDAY’s market cap.

As you can see these stocks had an average of 26 hedge funds with bullish positions and the average amount invested in these stocks was $992 million. That figure was $1.41 billion in WDAY’s case. DENTSPLY International Inc. (NASDAQ:XRAY) is the most popular stock in this table. On the other hand Credicorp Ltd. (USA) (NYSE:BAP) is the least popular one with only 22 bullish hedge fund positions. Workday Inc (NYSE:WDAY) 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 XRAY might be a better candidate to consider a long position.

Disclosure: None