Is Torchmark Corporation (NYSE:TMK) a good bet right now? We like to analyze hedge fund sentiment before doing days of in-depth research. We do so because hedge funds and other elite investors have numerous Ivy league graduates, expert network advisers, and supply chain tipsters working or consulting for them. There is not a shortage of news stories covering failed hedge fund investments (for some reason media paid a ton of attention to Ackman’s gigantic JC Penney and Valeant failures) and it is a fact that hedge funds’ picks don’t beat the market 100% of the time, but their consensus picks have historically done very well and have outperformed the market after adjusting for risk.
Torchmark Corporation (NYSE:TMK) was in 24 hedge funds’ portfolios at the end of September. TMK has experienced an increase in support from the world’s most elite money managers lately. There were 14 hedge funds in our database with TMK positions at the end of the previous quarter. At the end of this article we will also compare TMK to other stocks including CDW Corp (NASDAQ:CDW), Brixmor Property Group Inc (NYSE:BRX), and Signature Bank (NASDAQ:SBNY) to get a better sense of its popularity.
Keeping this in mind, let’s analyze the latest action encompassing Torchmark Corporation (NYSE:TMK).
How have hedgies been trading Torchmark Corporation (NYSE:TMK)?
Heading into Q4, a total of 24 of the hedge funds tracked by Insider Monkey were long this stock, a change of 71% from one quarter earlier. With hedge funds’ positions undergoing their usual ebb and flow, there exists a select group of key hedge fund managers who were upping their holdings substantially (or already accumulated large positions).
According to Insider Monkey’s hedge fund database, Warren Buffett’s Berkshire Hathaway has the most valuable position in Torchmark Corporation (NYSE:TMK), worth close to $358.4 million, amounting to 0.3% of its total 13F portfolio. The second most bullish fund manager is Richard S. Pzena of Pzena Investment Management, with an $51.2 million position; 0.3% of its 13F portfolio is allocated to the stock. Some other members of the smart money that are bullish comprise Ken Griffin’s Citadel Investment Group, Cliff Asness’ AQR Capital Management and Israel Englander’s Millennium Management.