With general bullishness amongst the heavyweights, key money managers were leading the bulls’ herd. Arrowstreet Capital initiated the largest position in SYSCO Corporation (NYSE:SYY). According to regulatory filings, the fund had $83.6 million invested in the company at the end of the quarter. Ken Griffin’s Citadel Investment Group also made a $10.2 million investment in the stock during the quarter. The following funds were also among the new SYY investors: David Harding’s Winton Capital Management, Glenn Russell Dubin’s Highbridge Capital Management, and Ray Carroll’s Breton Hill Capital.
Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as SYSCO Corporation (NYSE:SYY) but similarly valued. These stocks are Kellogg Company (NYSE:K), Intuit Inc. (NASDAQ:INTU), Sempra Energy (NYSE:SRE), and Tesla Motors Inc (NASDAQ:TSLA). This group of stocks’ market caps are similar to SYY’s market cap.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| K | 39 | 1306871 | 12 |
| INTU | 26 | 697375 | -2 |
| SRE | 16 | 640974 | -9 |
| TSLA | 34 | 1005235 | -2 |
As you can see these stocks had an average of 29 hedge funds with bullish positions and the average amount invested in these stocks was $913 million. That figure was a whooping $3.56 billion in SYY’s case. Kellogg Company (NYSE:K) is the most popular stock in this table. On the other hand Sempra Energy (NYSE:SRE) is the least popular one with only 16 bullish hedge fund positions. SYSCO Corporation (NYSE:SYY) 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 K might be a better candidate to consider a long position in.
Disclosure: None
