Will Twitter IPO pop? Hedge funds weigh in

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Will this cause the Twitter IPO to pop?

The financial community will be watching whether the so-called smart money invests in Twitter's initial public offering.

Anecdotal evidence suggests some larger hedge funds are at least showing interest. Representatives of Dan Loeb's $14 billion Third Point and multi-billion-dollar family office Soros Fund Management took meetings with Twitter executives in New York City last week, though it's unclear if either put in for a stake, according to people with knowledge of the meetings. And Samlyn Capital, a hedge fund that managed about $3.4 billion as of July, was among the firms requesting to invest in the new stock, according to a CNBC source. All three firms either declined to comment or did not respond to a request.

An early indication of that interest is that Twitter's underwriters priced the stock above initial estimates of $23 to $25 per share at $26.

(Read more: Twitter IPO pricesat $26 per share, above estimates: source)

Smaller hedge funds offered a spectrum of smart money opinions on Twitter.

Some are likely to buy the stock right away when trading begins, barring an unexpected valuation. But others are avoiding Twitter, either because they don't believe in its business generally, or at least initially because they want to let the day traders and other fast money work its way in and out of the stock during the initial flurry of activity.