Do Hedge Funds and Insiders Love Philip Morris International Inc. (PM)?

Page 1 of 2

Philip Morris International Inc. (NYSE:PM)Is Philip Morris International Inc. (NYSE:PM) an outstanding investment right now? The best stock pickers are taking a pessimistic view. The number of long hedge fund positions stayed the same which is a slightly negative development in our experience

To the average investor, there are dozens of methods shareholders can use to track publicly traded companies. A duo of the most useful are hedge fund and insider trading sentiment. At Insider Monkey, our studies have shown that, historically, those who follow the top picks of the elite investment managers can outperform the market by a solid amount (see just how much).

Equally as important, optimistic insider trading activity is another way to parse down the marketplace. Just as you’d expect, there are a number of stimuli for an insider to get rid of shares of his or her company, but just one, very simple reason why they would initiate a purchase. Various academic studies have demonstrated the market-beating potential of this method if shareholders know where to look (learn more here).

Now, we’re going to take a glance at the latest action regarding Philip Morris International Inc. (NYSE:PM).

Hedge fund activity in Philip Morris International Inc. (NYSE:PM)

At the end of the first quarter, a total of 49 of the hedge funds we track were long in this stock, a change of 0% from the previous quarter. With hedge funds’ positions undergoing their usual ebb and flow, there exists a few key hedge fund managers who were boosting their stakes considerably.

Of the funds we track, Tom Russo’s Gardner Russo & Gardner had the most valuable position in Philip Morris International Inc. (NYSE:PM), worth close to $818.1 million, comprising 9.6% of its total 13F portfolio. Coming in second is Ken Fisher of Fisher Asset Management, with a $516 million position; 1.4% of its 13F portfolio is allocated to the stock. Remaining hedge funds with similar optimism include Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital, Phill Gross and Robert Atchinson’s Adage Capital Management and Jim Simons’s Renaissance Technologies.

Since Philip Morris International Inc. (NYSE:PM) has witnessed a declination in interest from the entirety of the hedge funds we track, it’s safe to say that there was a specific group of money managers who sold off their positions entirely last quarter. Intriguingly, Ken Heebner’s Capital Growth Management cut the largest investment of the 450+ funds we watch, totaling close to $26.8 million in stock., and Daniel S. Och of OZ Management was right behind this move, as the fund dropped about $23.4 million worth. These moves are intriguing to say the least, as aggregate hedge fund interest stayed the same (this is a bearish signal in our experience).

What have insiders been doing with Philip Morris International Inc. (NYSE:PM)?

Insider buying is particularly usable when the company in question has seen transactions within the past half-year. Over the last half-year time frame, Philip Morris International Inc. (NYSE:PM) has seen 1 unique insiders purchasing, and 7 insider sales (see the details of insider trades here).

Let’s also examine hedge fund and insider activity in other stocks similar to Philip Morris International Inc. (NYSE:PM). These stocks are Vector Group Ltd (NYSE:VGR), Lorillard Inc. (NYSE:LO), Reynolds American, Inc. (NYSE:RAI), Altria Group Inc (NYSE:MO), and British American Tobacco PLC (ADR) (NYSEAMEX:BTI). This group of stocks are the members of the cigarettes industry and their market caps are similar to PM’s market cap.

Page 1 of 2

Dividend Stock Alert - Billionaire Robbins' Top Dividend Idea With 70% Upside Potential

Get Paid 3.5% Per Year While Waiting For The Stock Appreciate 70%

Larry Robbins' Glenview Capital Opportunity Fund returned 101.7% in 2013 and Robbins personally made $750 million. The same fund returned 25.3% in 2014. In this FREE REPORT we will share Robbins' top dividend idea that yields 3.5% and has been increasing its dividends for 39 consecutive years. Robbins thinks the stock has the potential to appreciate 70%.

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Click here to Read Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 74 percentage points in 2.5 years. Our beta is only 1.2 (download a FREE newsletter and see the details inside)

Lists

Best Selling Magazines in the World

Shortest People in History

The Most Celebrated Holidays in the World

Most Expensive Handbag Brands in the World

Top Selling Comic Book Issues of this Century

The Most Powerful Women in Politics

Best Paid DJs

Most Rebellious Female Artists

Best Paid TV Actresses of 2014

Best Paid Actors of 2014

Most Expensive Horses in the World

Tallest People Ever

Most Encouraging Feminist Celebrities

Best Paid Supermodels of 2014

Top 10 Suburbs for Retirement in 2015

10 Wealthiest Cities in America

Top 10 TED Talks for Entrepreneurs

Best TED Talks on Education

25 Most Dangerous Places to Live in America

Top 10 Ski Resorts in the United States – 2014 List

Top 10 Most Remote Places in the World

Most Visited Museums in the United States

Wealthiest Photographers in the World

Most Famous Gay Athletes

The World’s Most Famous Circuses

Best Hair Stylists

Most Popular NASCAR Drivers

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

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 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!