A Smart General Motors Company (GM) Investor Does What?

Is General Motors Company (NYSE:GM) a buy, sell, or hold? The smart money is becoming hopeful. The number of bullish hedge fund positions increased by 6 recently.

According to most stock holders, hedge funds are seen as unimportant, outdated investment tools of years past. While there are more than 8000 funds in operation at present, we look at the masters of this group, around 450 funds. Most estimates calculate that this group has its hands on the majority of the hedge fund industry’s total capital, and by paying attention to their best investments, we have unsheathed a few investment strategies that have historically outpaced the broader indices. Our small-cap hedge fund strategy outpaced the S&P 500 index by 18 percentage points annually for a decade in our back tests, and since we’ve started sharing our picks with our subscribers at the end of August 2012, we have outpaced the S&P 500 index by 23.3 percentage points in 8 months (see the details here).

Equally as beneficial, optimistic insider trading sentiment is a second way to break down the financial markets. Just as you’d expect, there are lots of reasons for a bullish insider to drop shares of his or her company, but just one, very simple reason why they would behave bullishly. Various academic studies have demonstrated the valuable potential of this tactic if “monkeys” know where to look (learn more here).

Keeping this in mind, it’s important to take a glance at the key action surrounding General Motors Company (NYSE:GM).

What does the smart money think about General Motors Company (NYSE:GM)?

At the end of the first quarter, a total of 110 of the hedge funds we track were bullish in this stock, a change of 6% from the previous quarter. With hedge funds’ capital changing hands, there exists an “upper tier” of key hedge fund managers who were upping their holdings meaningfully.

General Motors Company (NYSE:GM)Of the funds we track, Berkshire Hathaway, managed by Warren Buffett, holds the largest position in General Motors Company (NYSE:GM). Berkshire Hathaway has a $695.5 million position in the stock, comprising 0.8% of its 13F portfolio. Coming in second is David Einhorn of Greenlight Capital, with a $589 million position; 9% of its 13F portfolio is allocated to the stock. Remaining hedge funds that hold long positions include Doug Silverman and Alexander Klabin’s Senator Investment Group, Michael Novogratz’s Fortress Investment Group and William B. Gray’s Orbis Investment Management.

Consequently, some big names have jumped into General Motors Company (NYSE:GM) headfirst. Senator Investment Group, managed by Doug Silverman and Alexander Klabin, established the most valuable call position in General Motors Company (NYSE:GM). Senator Investment Group had 375.6 million invested in the company at the end of the quarter. Brian Jackelow’s SAB Capital Management also initiated a $79 million position during the quarter. The other funds with new positions in the stock are Mohnish Pabrai’s Mohnish Pabrai, Bruce Kovner’s Caxton Associates LP, and D. E. Shaw’s D E Shaw.

What have insiders been doing with General Motors Company (NYSE:GM)?

Insider purchases made by high-level executives is best served when the company in focus has seen transactions within the past 180 days. Over the latest six-month time frame, General Motors Company (NYSE:GM) has experienced 1 unique insiders buying, and 6 insider sales (see the details of insider trades here).

With the results demonstrated by the aforementioned studies, retail investors should always keep an eye on hedge fund and insider trading sentiment, and General Motors Company (NYSE:GM) is no exception.

Click here to learn why you should track hedge funds

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!