Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Here’s Why Traders Are Obsessing Over These 5 Stocks Today

Page 1 of 2

It’s a red day on Wall Street, as all three indexes are off by around half a percent due to profit taking. In this article, we’ll take a closer look at five stocks that are in the news, including Praxair, Inc. (NYSE:PX), American International Group Inc (NYSE:AIG), Dicks Sporting Goods Inc (NYSE:DKS), E*TRADE Financial Corp (NASDAQ:ETFC), and Bank of America Corp (NYSE:BAC). In addition to finding out what’s going on with these companies, we’ll use SEC filings to determine what the smart money in our database thinks of each stock.

Hedge fund sentiment is an important metric for assessing the long-term profitability. At Insider Monkey, we track over 765 hedge funds, whose quarterly 13F filings we analyze and determine their collective sentiment towards several thousand stocks. However, our research has shown that the best strategy is to follow hedge funds into their small-cap picks. This approach can allow monthly returns of nearly 95 basis points above the market, as we determined through extensive backtests covering the period between 1999 and 2012 (see the details here).

American International Group Inc (NYSE: AIG), homepage, website, close up, magnifying glass, symbol, logo

Gil C / Shutterstock.com

Praxair Considers M&A

Traders have bid up Praxair, Inc. (NYSE:PX) to the tune of 4.7% today after the Wall Street Journal reported that the company is talking with fellow industrial gas producer Linde over a possible merger. If consummated, the deal would create the world’s largest industrial gas producer and unlock substantial synergies for the shareholders of both companies. Given the size of both companies, there is no guarantee that the deal would get the thumbs up from regulators however, and the talks at this stage could still unravel. Of the 766 13F-filing funds that we track, 31 of them owned $595.28 million worth of Praxair, Inc. (NYSE:PX) holdings on March 31.

Follow Praxair Inc (NYSE:PX)
Trade (NYSE:PX) Now!

AIG Sells Another Non-Core Unit

American International Group Inc (NYSE:AIG) has investors buzzing after the insurer agreed to sell its mortgage guaranty division named United Guaranty to Arch Capital Group for around $3.4 billion. The deal includes consideration of $2.2 billion of cash, $250 million of perpetual preferred stock, and $975 million of newly-issued Arch convertible non-voting, common-equivalent preferred stock. The sale will help AIG further streamline its business. Andreas Halvorsen‘s Viking Global opened a new American International Group Inc (NYSE:AIG) position during the second quarter, owning 3.33 million shares of the company on June 30.

Follow American International Group Inc (NYSE:AIG)
Trade (NYSE:AIG) Now!

On the next page we’ll check out why Dicks Sporting Goods, E*TRADE, and Bank of America are in the spotlight.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...
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 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!