Main US indices are close to flat amid a stronger dollar and as investors await Federal Reserve Chair Janet Yellen’s speech at the end of the week, when she is expected to hint towards an interest rate hike in September.
Among the stocks in the spotlight today are Syngenta AG (ADR) (NYSE:SYT), Marathon Oil Corporation (NYSE:MRO), Intersil Corp (NASDAQ:ISIL), Straight Path Communications Inc (NYSEMKT:STRP), and CIFC LLC (NASDAQ:CIFC). Let’s take a closer look at the developments surrounding these companies and assess the hedge fund sentiment towards them to gain some perspective regarding their long-term performance.
At Insider Monkey, we track around 770 hedge funds and institutional investors. Through extensive backrests, we have determined that imitating some of the stocks that these investors are collectively bullish on can help retail investors generate double digits of alpha per year. The key is to focus on the small-cap picks of these funds, which are usually less followed by the broader market and allow for larger price inefficiencies (see more details about our small-cap strategy).
Syngenta AG (ADR) (NYSE:SYT) has gained over 10% in today’s trading session after the Committee on Foreign Investment in the United States (CFIUS) approved Syngenta’s acquisition by ChemChina for $43 billion. ChemChina had made an offer to buy the Swiss pesticides and seeds company in Feburary 2016. The transaction is subject to antitrust authorities in the USA and European Union, but Syngenta expects the deal to be closed by the end of the year. During the second quarter, Eric Mindich’s Eton Park Capital increased its stake in Syngenta AG (ADR) (NYSE:SYT) tenfold to 1.75 million shares.
On the other hand, Marathon Oil Corporation (NYSE:MRO)’s stock is down by over 7% after the company announced that Chief Financial Officer J. R. Sult had left the company, citing personal reasons. Marathon Oil has appointed Pat Wagner as interim CFO. A total of 26 funds tracked by Insider Monkey held shares of Marathon Oil Corporation at the end of June, down from 33 funds a quarter earlier.
On the next page, we are going to discuss Intersil Corp (NASDAQ:ISIL), Straight Path Communications Inc (NYSEMKT:STRP), and CIFC LLC (NASDAQ:CIFC).