PBR Sinks On Latest Corruption Scandal News, Should You Take Advantage?

Hedge fund activity in Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR)

Heading into the second quarter, a total of 35 of the hedge funds tracked by Insider Monkey were bullish in this stock, a drop of 8% from one quarter earlier. With hedge funds’ capital changing hands, there exists a select group of key hedge fund managers who were increasing their stakes considerably.

According to hedge fund experts at Insider Monkey, Daniel S. Och’s OZ Management had the biggest position in Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR), worth close to $135.9 million, amounting to 0.4% of its total 13F portfolio. On OZ Management’s heels is Senator Investment Group, managed by Doug Silverman and Alexander Klabin, which held a $123.2 million position; 1.2% of its 13F portfolio is allocated to the company. Other hedgies that hold long positions include Rob Citrone’s Discovery Capital Management, and Ken Fisher’s Fisher Asset Management.

With the latest news scaring up the markets and sending prices drooping, it could be a good time to take advantage and get in on Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR) at a reduced rate. We recommend a buy on this stock for patient investors who won’t overreact to the latest market news like some of its former investors did yesterday.

Disclosure: None