Is salesforce.com inc. (CRM) A Good Stock To Buy?

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Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as salesforce.com inc. (NYSE:CRM) but similarly valued. These stocks are ING Groep N.V. (ADR) (NYSE:ING), Sumitomo Mitsui Financial Grp, Inc. (ADR) (NYSE:SMFG), HDFC Bank Limited (ADR) (NYSE:HDB), and Time Warner Inc (NYSE:TWX). This group of stocks’ market caps are closest to CRM’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
ING 6 17163 -7
SMFG 11 23537 -3
HDB 23 1417465 -6
TWX 72 3527415 3

As you can see these stocks had an average of 28 hedge funds with bullish positions and the average amount invested in these stocks was $1.25 billion. That figure was $1.96 billion in CRM’s case. Time Warner Inc (NYSE:TWX) is the most popular stock in this table. On the other hand ING Groep N.V. (ADR) (NYSE:ING) is the least popular one with only 6 bullish hedge fund positions. salesforce.com inc. (NYSE:CRM) 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 TWX might be a better candidate to consider a long position.

Disclosure: None

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