At the moment, there are dozens of gauges investors can use to track the equity markets. Two of the best are hedge fund and insider trading interest. At Insider Monkey, our studies have shown that, historically, those who follow the top picks of the top fund managers can outpace the market by a superb margin (see just how much).
Equally as crucial, bullish insider trading sentiment is a second way to look at the investments you’re interested in. Just as you’d expect, there are many motivations for a bullish insider to cut shares of his or her company, but only one, very obvious reason why they would behave bullishly. Plenty of empirical studies have demonstrated the market-beating potential of this method if investors understand what to do (learn more here).
What’s more, it’s important to discuss the newest info for Brandywine Realty Trust (NYSE:BDN).
How are hedge funds trading Brandywine Realty Trust (NYSE:BDN)?
Heading into Q3, a total of 7 of the hedge funds we track were bullish in this stock, a change of -22% from the first quarter. With hedge funds’ positions undergoing their usual ebb and flow, there exists a few noteworthy hedge fund managers who were increasing their stakes considerably.
Out of the hedge funds we follow, Dreman Value Management, managed by David Dreman, holds the most valuable position in Brandywine Realty Trust (NYSE:BDN). Dreman Value Management has a $30.4 million position in the stock, comprising 0.9% of its 13F portfolio. On Dreman Value Management’s heels is AQR Capital Management, managed by Cliff Asness, which held a $4.5 million position; less than 0.1%% of its 13F portfolio is allocated to the stock. Some other hedge funds that hold long positions include Matthew Tewksbury’s Stevens Capital Management, J. Alan Reid, Jr.’s Forward Management and Ken Griffin’s Citadel Investment Group.
Because Brandywine Realty Trust (NYSE:BDN) has experienced dropping sentiment from the smart money’s best and brightest, it’s safe to say that there is a sect of fund managers who were dropping their positions entirely last quarter. It’s worth mentioning that Jim Simons’s Renaissance Technologies cut the largest investment of the 450+ funds we monitor, comprising about $9.9 million in stock. Anil Stevens and Glenn Shapiro’s fund, Parameter Capital Management, also dumped its stock, about $2.2 million worth. These transactions are important to note, as total hedge fund interest was cut by 2 funds last quarter.
How have insiders been trading Brandywine Realty Trust (NYSE:BDN)?
Legal insider trading, particularly when it’s bullish, is particularly usable when the company in focus has experienced transactions within the past six months. Over the last 180-day time period, Brandywine Realty Trust (NYSE:BDN) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).
We’ll go over the relationship between both of these indicators in other stocks similar to Brandywine Realty Trust (NYSE:BDN). These stocks are Newcastle Investment Corp. (NYSE:NCT), Spirit Realty Capital Inc (NYSE:SRC), Lexington Realty Trust (NYSE:LXP), Redwood Trust, Inc. (NYSE:RWT), and PS Business Parks Inc (NYSE:PSB). All of these stocks are in the reit – diversified industry and their market caps match BDN’s market cap.