To many of your peers, hedge funds are viewed as delayed, old financial vehicles of a forgotten age. Although there are more than 8,000 hedge funds in operation in present day, this site focuses on the crème de la crème of this group, close to 525 funds. It is widely held that this group controls most of the smart money’s total capital, and by paying attention to their highest quality equity investments, we’ve identified a few investment strategies that have historically outperformed the S&P 500. Our small-cap hedge fund strategy outstripped the S&P 500 index by 18 percentage points per annum for a decade in our back tests, and since we’ve began to sharing our picks with our subscribers at the end of August 2012, we have outclassed the S&P 500 index by 33 percentage points in 11 months (find a sample of our picks).
Equally as crucial, optimistic insider trading activity is a second way to look at the world of equities. Obviously, there are lots of incentives for a bullish insider to sell shares of his or her company, but just one, very obvious reason why they would behave bullishly. Plenty of empirical studies have demonstrated the impressive potential of this method if piggybackers understand where to look (learn more here).
Now that that’s out of the way, it’s important to analyze the newest info for DTE Energy Co (NYSE:DTE).
How are hedge funds trading DTE Energy Co (NYSE:DTE)?
At Q2′s end, a total of 15 of the hedge funds we track were long in this stock, a change of 15% from the previous quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists a select group of noteworthy hedge fund managers who were boosting their holdings meaningfully.
Out of the hedge funds we follow, AQR Capital Management, managed by Cliff Asness, holds the biggest position in DTE Energy Co (NYSE:DTE). AQR Capital Management has a $82.3 million position in the stock, comprising 0.3% of its 13F portfolio. Sitting at the No. 2 spot is Winton Capital Management, managed by David Harding, which held a $63.5 million position; the fund has 0.8% of its 13F portfolio invested in the stock. Some other hedgies that are bullish include Phill Gross and Robert Atchinson’s Adage Capital Management, Jim Simons’s Renaissance Technologies and Glenn Russell Dubin’s Highbridge Capital Management.
With a general bullishness amongst the titans, specific money managers have been driving this bullishness. AQR Capital Management, managed by Cliff Asness, assembled the most valuable position in DTE Energy Co (NYSE:DTE). AQR Capital Management had 82.3 million invested in the company at the end of the quarter. David Harding’s Winton Capital Management also initiated a $63.5 million position during the quarter. The other funds with brand new DTE positions are Phill Gross and Robert Atchinson’s Adage Capital Management, Jim Simons’s Renaissance Technologies, and Glenn Russell Dubin’s Highbridge Capital Management.
What do corporate executives and insiders think about DTE Energy Co (NYSE:DTE)?
Legal insider trading, particularly when it’s bullish, is particularly usable when the primary stock in question has seen transactions within the past 180 days. Over the latest half-year time period, DTE Energy Co (NYSE:DTE) has seen zero unique insiders buying, and zero insider sales (see the details of insider trades here).
We’ll also take a look at the relationship between both of these indicators in other stocks similar to DTE Energy Co (NYSE:DTE). These stocks are Empresa Nacional de Electricidad (ADR) (NYSE:EOC), Xcel Energy Inc (NYSE:XEL), Wisconsin Energy Corporation (NYSE:WEC), Companhia Energetica Minas Gerais (ADR) (NYSE:CIG), and Entergy Corporation (NYSE:ETR). This group of stocks are in the electric utilities industry and their market caps are similar to DTE’s market cap.