These Hedge Funds’ Latest Moves Suggest Two Stocks Worth Buying

FPA is a Los Angeles-based value-oriented investment management firm, currently overseen by Robert Rodriguez and Steven Romick. First Pacific Advisors has roughly $33 billion in assets under management across six equity strategies and one fixed-income strategy. As stated by its latest 13F filing, the investment management firm an equity portfolio worth $12.27 billion.

Esterline Technologies Corporation (NYSE:ESL), a supplier of aerospace parts, has had a rough year in terms of both stock and financial performance. Its stock has lost nearly 29% since the beginning of the year, but the management has been working on increasing efficiencies so as to achieve a much-needed turnaround. On September 3, the company released its earnings report for the third fiscal quarter of 2015 ended July 31. Esterline Technologies Corporation posted consolidated revenue of $496.2 million, compared to $506.3 million reported in the same quarter a year ago. At the same time, the company’s GAAP earnings from continuing operations amounted to $30.2 million, compared to $39.8 million reported a year ago. Esterline Technologies Corporation anticipates its sales growth to keep facing downward pressure, considering that “most commercial aerospace production rates have stabilized and energy and general industrial markets are still under pressure”. In the meantime, the stock became more appealing for the hedge fund industry during the second quarter, as the number of top money managers invested in the company increased to 22 from 17 during the three-month period. However, the aggregate value of positions decreased to $558.41 million from $654.57 million. The hedge funds monitored by Insider Monkey still stockpiled 19.00% of the company’s outstanding common stock as of June 30. Relational Investors reported owning 2.15 million shares of Esterline Technologies Corporation (NYSE:ESL) through the 13F filing for the June quarter.

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