Fifth Third Bancorp (NASDAQ:FITB) is another new addition to Alan Howard’s equity portfolio, as his hedge fund held 667,416 shares valued at $13.90 million. The banking institution announced its second quarter financial results on July 21, announcing earnings per share of $0.36 for the period, which was in-line with the market’s expectations. The smart money was bullish on Fifth Third Bancorp (NASDAQ:FITB), with 41 hedge funds holding $625.04 million in shares at the end of the second quarter against previous quarter holdings of $360.58 million from 28 hedgies. Fifth Third Bancorp witnessed 10.45% growth in its share price during the second quarter, contributing towards the investment gains. Cliff Asness’ AQR Capital Management was the largest shareholder of the bank in our database, improving its position by 587% in the second quarter to 5.85 million shares valued at $121.75 million. Among the hedge funds trimming their investments in Fifth Third Bancorp (NASDAQ:FITB), Two Sigma Advisors, led by John Overdeck and David Siegel, was at the top, dumping its entire stake of 2.06 million shares in the company.
Zions Bancorporation (NASDAQ:ZION) comes in at number eight in the equity portfolio of the hedge fund, which held 436,360 shares valued at $13.85 million. The mid-cap bank announced its second quarter financial results on July 20, reporting a net loss of $0.01 per share. The net loss came after taking a one-time pretax hit of $137 million because of the sale of its remaining collateralized debt obligation securities. In terms of hedge fund activity, Zions Bancorporation (NASDAQ:ZION) gained popularity among the hedge funds in our database, with 36 funds holding $608.12 million in the company’s shares compared to holdings of $572.44 million held by 30 hedgies three months earlier. Its shares were up by 17.54% during the quarter, much higher than the increase in aggregate holdings, meaning hedge funds collectively disposed of some of their shares. Israel Englander’s Millennium Management held the largest stake in Zions Bancorporation among the hedge funds we track, possessing 3.33 million shares worth $105.54 million.
Brevan Howard initiated new positions in 16 stocks during the second quarter, including KeyCorp (NYSE:KEY). The hedge fund reported ownership of 921,540 shares of the bank holding company valued at $13.84 million. KeyCorp reported second quarter earnings per share of $0.27 on July 16, falling short of analysts’ estimates by $0.01. Further, the net interest margin of the banking company was down to 2.88% against prior year interest margins of 2.91%. Despite a 6.07% growth in KeyCorp (NYSE:KEY)’s shares during the second quarter, net investments from hedge funds in our database declined by 16% to $702.24 million. Among 37 hedge funds holding a position in the company, AQR Capital Management topped the list with 10.08 million shares valued at $151.38 million.
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