Teledyne Technologies Incorporated (NYSE:TDY) has seen a decrease in hedge fund interest in recent months.
In the financial world, there are tons of methods investors can use to track the equity markets. Two 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 fund managers can trounce the S&P 500 by a solid amount (see just how much).
Equally as important, positive insider trading activity is another way to break down the world of equities. There are a variety of motivations for an upper level exec to downsize shares of his or her company, but just one, very simple reason why they would behave bullishly. Plenty of empirical studies have demonstrated the impressive potential of this strategy if piggybackers know where to look (learn more here).
Keeping this in mind, let’s take a look at the latest action encompassing Teledyne Technologies Incorporated (NYSE:TDY).
How have hedgies been trading Teledyne Technologies Incorporated (NYSE:TDY)?
Heading into Q2, a total of 10 of the hedge funds we track were bullish in this stock, a change of 0% from the previous quarter. With hedgies’ positions undergoing their usual ebb and flow, there exists an “upper tier” of notable hedge fund managers who were upping their stakes substantially.
Of the funds we track, Steven Richman’s East Side Capital (RR Partners) had the biggest position in Teledyne Technologies Incorporated (NYSE:TDY), worth close to $83.7 million, accounting for 4.2% of its total 13F portfolio. Coming in second is Cardinal Capital, managed by Amy Minella, which held a $56.1 million position; 3.5% of its 13F portfolio is allocated to the stock. Other hedgies that hold long positions include Chuck Royce’s Royce & Associates, Ken Fisher’s Fisher Asset Management and Cliff Asness’s AQR Capital Management.
Since Teledyne Technologies Incorporated (NYSE:TDY) has experienced bearish sentiment from the smart money, it’s easy to see that there was a specific group of fund managers that slashed their full holdings last quarter. It’s worth mentioning that Ken Griffin’s Citadel Investment Group dropped the largest investment of all the hedgies we watch, comprising close to $2 million in stock., and Israel Englander of Millennium Management was right behind this move, as the fund said goodbye to about $1.1 million worth. These transactions are interesting, as total hedge fund interest stayed the same (this is a bearish signal in our experience).
How have insiders been trading Teledyne Technologies Incorporated (NYSE:TDY)?
Insider purchases made by high-level executives is particularly usable when the company in question has experienced transactions within the past half-year. Over the last 180-day time period, Teledyne Technologies Incorporated (NYSE:TDY) has experienced zero unique insiders purchasing, and 6 insider sales (see the details of insider trades here).
Let’s check out hedge fund and insider activity in other stocks similar to Teledyne Technologies Incorporated (NYSE:TDY). These stocks are Alliant Techsystems Inc. (NYSE:ATK), CAE, Inc. (USA) (NYSE:CAE), Huntington Ingalls Industries Inc (NYSE:HII), Spirit AeroSystems Holdings, Inc. (NYSE:SPR), and Hexcel Corporation (NYSE:HXL). This group of stocks are in the aerospace/defense products & services industry and their market caps are similar to TDY’s market cap.