Hedge Funds Are Betting On Astoria Financial Corp (AF)

Page 1 of 2

Now, according to many traders, hedge funds are assumed to be overrated, outdated financial tools of a forgotten age. Although there are more than 8,000 hedge funds in operation currently, Insider Monkey looks at the moguls of this group, about 525 funds. Analysts calculate that this group oversees the majority of the hedge fund industry’s total assets, and by watching their best investments, we’ve determined a number of investment strategies that have historically beaten the S&P 500. Our small-cap hedge fund strategy beat the S&P 500 index by 18 percentage points per annum for a decade in our back tests, and since we’ve started sharing our picks with our subscribers at the end of August 2012, we have outpaced the S&P 500 index by 33 percentage points in 11 months (find the details here).

Equally as key, optimistic insider trading sentiment is a second way to look at the marketplace. Just as you’d expect, there are lots of reasons for a corporate insider to downsize shares of his or her company, but just one, very clear reason why they would buy. Plenty of empirical studies have demonstrated the valuable potential of this tactic if investors understand what to do (learn more here).

Thus, let’s study the newest info about Astoria Financial Corp (NYSE:AF).

How are hedge funds trading Astoria Financial Corp (NYSE:AF)?

At the end of the second quarter, a total of 15 of the hedge funds we track were bullish in this stock, a change of 36% from the first quarter. With the smart money’s capital changing hands, there exists a select group of key hedge fund managers who were boosting their holdings meaningfully.

Astoria Financial Corp (NYSE:AF)According to our 13F database, Bernard Horn’s Polaris Capital Management had the largest position in Astoria Financial Corp (NYSE:AF), worth close to $55.5 million, comprising 3.1% of its total 13F portfolio. On Polaris Capital Management’s heels is Ken Griffin of Citadel Investment Group, with a $24.9 million position; less than 0.1%% of its 13F portfolio is allocated to the stock. Some other hedge funds with similar optimism include Matthew Lindenbaum’s Basswood Capital, Jim Simons’s Renaissance Technologies and Israel Englander’s Millennium Management.

As one would understandably expect, specific money managers have been driving this bullishness. Polaris Capital Management, managed by Bernard Horn, established the biggest position in Astoria Financial Corp (NYSE:AF). Polaris Capital Management had 55.5 million invested in the company at the end of the quarter. Ken Griffin’s Citadel Investment Group also initiated a $24.9 million position during the quarter. The other funds with new positions in the stock are Matthew Lindenbaum’s Basswood Capital, Jim Simons’s Renaissance Technologies, and Israel Englander’s Millennium Management.

Insider trading activity in Astoria Financial Corp (NYSE:AF)

Insider buying is particularly usable when the company in focus has seen transactions within the past half-year. Over the latest half-year time frame, Astoria Financial Corp (NYSE:AF) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).

We’ll also examine the relationship between both of these indicators in other stocks similar to Astoria Financial Corp (NYSE:AF). These stocks are Sterling Financial Corporation (NASDAQ:STSA), Flagstar Bancorp Inc (NYSE:FBC), Northwest Bancshares, Inc. (NASDAQ:NWBI), Columbia Banking System Inc (NASDAQ:COLB), and Provident Financial Services, Inc. (NYSE:PFS). All of these stocks are in the savings & loans industry and their market caps are closest to AF’s market cap.

Page 1 of 2

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

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

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

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

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

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!