A Hedge Fund Boosts Its Stake in Lufkin Industries, Inc. (LUFK)

A market moving update, Mario Gabelli’s Gamco Investors, reported a purchase of 1,613,518 shares of Lufkin Industries, Inc. (NASDAQ:LUFK) in a 13D filing with the SEC’s Edgar system. Altogether, the holding in Lufkin Industries, Inc. (NASDAQ:LUFK) is now valued at near $194 million and contains 2,191,618 shares. The position represents 6.47% of the company.

In investment circles, 13Ds indicate the intentions of activist hedge fund managers. These members of the “investing elite” are the big shots in the financial world and seek to take a brush stroke to an already standing business model.

To put it simply, it’s very beneficial for average investors to understand Mario Gabelli’s latest investment into Lufkin Industries, Inc. (NASDAQ:LUFK).

Though It’s important to pay attention to a wide range of investing methods of evaluation there is one that should be watched more closely: the aggregate sentiment of the world’s best money managers.

Our research has found that retail investors who follow the funds we track can outpace the general indices by an average of eighteen percentage points per year. (See the details here)

Focusing in on Lufkin Industries, Inc. (NASDAQ:LUFK), we can see that 14 other hedge funds were long Company in the latest round of 13F filings. More precisely Renaissance Technologies managed by Jim Simons, Chuck Royce’s Royce & Associates and Ken Griffin Citadel Investment Group were in Lufkin, which is some of the top peers any hedge fund can maintain. Renaissance Technologies owns 114,662 shares, worth about $7.6 million, Royce & Associates holds a $15.1 million stake, which contains 228,136 shares. Citadel Investment Group has an $11.8 million position, which involves 177,212 shares.

Just as important, let’s mention some other holdings in Gamco Investors’s equity portfolio, in addition to Lufkin Industries, Inc. (NASDAQ:LUFK).

As follows, they include DIRECTV (NASDAQ:DTV), American Express Company (NYSE:AXP), and Ryman Hospitality Properties, Inc. (REIT) (NYSE:RHP), and are discussed on the next page:

Gamco owns about 4.9 million shares of DIRECTV (NASDAQ:DTV), valued at $279.3 million. In American Express Company (NYSE:AXP), the hedge fund has a $247.9 million position, which contains almost 3.7 million shares. Also, Mario Gabelli’s hedge fund holds some 4.8 million shares of Ryman Hospitality Properties, Inc. (REIT) (NYSE:RHP), the value of the stake amounting to $221.1 million.

With that being said, Insider Monkey will keep you updated about the smart money’s investment plays around Lufkin Industries, Inc. (NASDAQ:LUFK).