Zebra Technologies Corp. (ZBRA): Are Hedge Funds Right About This Stock?

As industrywide interest jumped, key money managers have been driving this bullishness. Segantii Capital, managed by Simon Sadler, assembled the biggest position in Zebra Technologies Corp. (NASDAQ:ZBRA), worth an estimated $7.2 million at the end of the quarter. Jim Simons’s Renaissance Technologies also made a $3.2 million investment in the stock during the quarter. The other funds with new positions in the stock are Neil Chriss’s Hutchin Hill Capital, Paul Marshall and Ian Wace’s Marshall Wace LLP, and D. E. Shaw’s D E Shaw.

Let’s check out hedge fund activity in other stocks similar to Zebra Technologies Corp. (NASDAQ:ZBRA). We will take a look at Echostar Corporation (NASDAQ:SATS), Reliance Steel & Aluminum (NYSE:RS), Tesoro Logistics LP (NYSE:TLLP), and Copart, Inc. (NASDAQ:CPRT). This group of stocks’ market valuations resemble ZBRA’s market valuation.

As you can see these stocks had an average of 23 hedge funds with bullish positions and the average amount invested in these stocks was $385 million. That figure was $653 million in ZBRA’s case. Copart, Inc. (NASDAQ:CPRT) is the most popular stock in this table. On the other hand Tesoro Logistics LP (NYSE:TLLP) is the least popular one with only 9 bullish hedge fund positions. Zebra Technologies Corp. (NASDAQ:ZBRA) 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 CPRT might be a better candidate to consider a long position.