This Metric Says You Are Smart to Buy Gardner Denver, Inc. (NYSE:GDI)

Is Gardner Denver, Inc. (NYSE:GDI) a buy right now? Prominent investors are in an optimistic mood. The number of bullish hedge fund bets rose by 23 lately.

In the 21st century investor’s toolkit, there are a multitude of metrics market participants can use to watch their holdings. A pair of the most underrated are hedge fund and insider trading sentiment. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the best investment managers can outpace the broader indices by a significant margin (see just how much).

Equally as important, optimistic insider trading sentiment is another way to break down the stock market universe. Just as you’d expect, there are a number of incentives for an upper level exec to cut shares of his or her company, but just one, very simple reason why they would buy. Several empirical studies have demonstrated the valuable potential of this tactic if piggybackers understand where to look (learn more here).

Now, we’re going to take a look at the latest action surrounding Gardner Denver, Inc. (NYSE:GDI).

What does the smart money think about Gardner Denver, Inc. (NYSE:GDI)?

At the end of the fourth quarter, a total of 47 of the hedge funds we track were bullish in this stock, a change of 96% from the third quarter. With hedge funds’ capital changing hands, there exists an “upper tier” of notable hedge fund managers who were boosting their holdings significantly.

According to our comprehensive database, ValueAct Capital, managed by Jeffrey Ubben, holds the most valuable position in Gardner Denver, Inc. (NYSE:GDI). ValueAct Capital has a $172 million billion position in the stock, comprising 2.2% of its 13F portfolio. The second largest stake is held by Chuck Royce of Royce & Associates, with a $103 million position; 2.6% of its 13F portfolio is allocated to the stock. Other hedge funds that are bullish include Phill Gross and Robert Atchinson’s Adage Capital Management, Matthew Halbower’s Pentwater Capital Management and Nick Niell’s Arrowgrass Capital Partners.

As industrywide interest jumped, some big names were leading the bulls’ herd. Pentwater Capital Management, managed by Matthew Halbower, created the most outsized position in Gardner Denver, Inc. (NYSE:GDI). Pentwater Capital Management had 71 million invested in the company at the end of the quarter. Nick Niell’s Arrowgrass Capital Partners also made a $56 million investment in the stock during the quarter. The other funds with new positions in the stock are Daniel S. Och’s OZ Management, Eric Mindich’s Eton Park Capital, and Carl Tiedemann and Michael Tiedemann’s TIG Advisors.

What have insiders been doing with Gardner Denver, Inc. (NYSE:GDI)?

Bullish insider trading is at its handiest when the company in focus has seen transactions within the past half-year. Over the latest six-month time frame, Gardner Denver, Inc. (NYSE:GDI) has seen zero unique insiders purchasing, and 2 insider sales (see the details of insider trades here).

With the results exhibited by Insider Monkey’s time-tested strategies, everyday investors must always keep an eye on hedge fund and insider trading activity, and Gardner Denver, Inc. (NYSE:GDI) applies perfectly to this mantra.

Click here to learn more about Insider Monkey’s Hedge Fund Newsletter

Insider Monkey’s small-cap strategy returned 29.2% between September 2012 and February 2013 versus 8.7% for the S&P 500 index. Try it now by clicking the link above.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

On the Move: The 10 Fastest Growing Businesses in 2015

Fast Money: The 10 Highest Paying Fast Food Restaurants

Mixing It Up: The 14 Best Music Mashups of 2014

Rito Pls Buff: The 10 Least Played Champions in LoL Season 4

10 Covers of Popular Songs that are Better than the Originals

Must See TV: The 9 Most Anticipated Shows of 2015

The 15 Biggest Box Office Bombs of All Time

10 Things The World Can’t Stand About Americans

Picture Perfect: The 6 Smartphones with the Best Cameras

The 10 Best Countries To Work In the World

A Profitable Day At The Track: 5 Tips For Betting On Horses

Tearing You Apart: 6 Bad Habits That Ruin Relationships

Learning on the Job: The 6 Biggest Mistakes Parents Make

Shopaholics Rejoice: The 12 Biggest Malls in the World

Fright Night: 10 Horror Movies Based on True Stories

Mach Mania: The 10 Fastest Jets in the World

Military Heavyweights: The 10 Countries with the Most Tanks

All In: The 7 Richest Poker Players in the World

Abracadabra: The 10 Best Magicians in the World

The 10 Richest Asian Countries in the World in 2014

Eyes in the Sky: 10 Things You Need to Know About Drones

Rising Stars: The 6 Best Silicon Valley Startups

Military Muscle: The 5 Most Advanced Armies in South America

All that Glitters: The 7 Most Luxurious Jewelry Brands in the World

5 Things You Didn’t Know About ISIS but Should

Empowering Your Money: The 5 Best Energy Stocks to Invest In

The 11 Best Android Apps You Can’t Get on iOS

The 10 Most Important International Conflicts in 2014

Mood Enhancers: The 20 Most Uplifting Songs of all Time

Lover Beware: The 8 Countries that Cheat the Most

Breath of Fresh Air: The 25 Countries with the Best Air Quality on the Planet

Singles Beware: The 8 Worst Mistakes Made on First Dates

Healthy and Happy: The 10 Countries with Lowest Healthcare Costs

The 6 Best Company Team Building Activities to Build Workplace Camaraderie

Ships Ahoy: The 10 Busiest Shipping Ports in the World

10 Productivity Tips to Save You Time and Help You Do More With Less

Grab a Bite: The Most Popular Fast Food Restaurants in America

Friday Night Thirst: The 10 Most Popular Cocktails in the World

The 6 Greatest Unsolved Mysteries We May Never Figure Out

7 Useless Products You Never Should’ve Bought

The 5 Reasons Why You’re Single and Miserable

The 7 Most Addictive Foods in the World We Can’t Stop Eating (Even Though We Should)

5 Amazing Places You Can Swim with Dolphins

The Top 7 Most Livable Countries In The World

The 10 Most Expensive Baseball Cards Ever Pulled From A Pack

The 5 Easiest Second Languages to Learn for English Speakers

Silver Spoon: The 6 Richest Families in the World

The 20 Countries with the Largest Prison Populations in the World

The Top 10 Richest Actors in the World

The 10 Best Airline Stocks to Invest In Before They Fly Too High

Subscribe

Enter your email:

Delivered by FeedBurner

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 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!