Is Hill-Rom Holdings, Inc. (NYSE:HRC) a marvelous investment today? Prominent investors are in a bullish mood. The number of long hedge fund positions moved up by 1 lately.
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Just as key, bullish insider trading sentiment is another way to parse down the marketplace. Just as you’d expect, there are a number of incentives for an executive to drop shares of his or her company, but just one, very clear reason why they would initiate a purchase. Various academic studies have demonstrated the valuable potential of this method if you know where to look (learn more here).
Consequently, let’s take a gander at the recent action regarding Hill-Rom Holdings, Inc. (NYSE:HRC).
What have hedge funds been doing with Hill-Rom Holdings, Inc. (NYSE:HRC)?
At year’s end, a total of 17 of the hedge funds we track were long in this stock, a change of 6% from the previous quarter. With the smart money’s capital changing hands, there exists a select group of key hedge fund managers who were upping their stakes substantially.
When looking at the hedgies we track, Royce & Associates, managed by Chuck Royce, holds the largest position in Hill-Rom Holdings, Inc. (NYSE:HRC). Royce & Associates has a $61 million position in the stock, comprising 0.2% of its 13F portfolio. On Royce & Associates’s heels is Ken Fisher of Fisher Asset Management, with a $52 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Some other peers with similar optimism include Cliff Asness’s AQR Capital Management, David Dreman’s Dreman Value Management and D. E. Shaw’s D E Shaw.
As industrywide interest jumped, key money managers have been driving this bullishness. Highbridge Capital Management, managed by Glenn Russell Dubin, initiated the largest position in Hill-Rom Holdings, Inc. (NYSE:HRC). Highbridge Capital Management had 11 million invested in the company at the end of the quarter. Barton Biggs’s Traxis Partners also initiated a $1 million position during the quarter. The only other fund with a brand new HRC position is Charles Davidson’s Wexford Capital.
What do corporate executives and insiders think about Hill-Rom Holdings, Inc. (NYSE:HRC)?
Insider purchases made by high-level executives is most useful when the company we’re looking at has experienced transactions within the past half-year. Over the latest 180-day time period, Hill-Rom Holdings, Inc. (NYSE:HRC) has experienced zero unique insiders purchasing, and 4 insider sales (see the details of insider trades here).
With the results exhibited by Insider Monkey’s strategies, retail investors should always watch hedge fund and insider trading activity, and Hill-Rom Holdings, Inc. (NYSE:HRC) shareholders fit into this picture quite nicely.
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