Today’s Hot Stocks: Buckle, Boeing, Ford, and More

The markets are relatively quiet today as traders look forward to this afternoon’s EIA petroleum status report and Friday’s employment situation release.

Among the stocks traders are talking about in light of the flat overall market backdrop are Buckle Inc (NYSE:BKE), Boeing Co (NYSE:BA), Ford Motor Company (NYSE:F), Wingstop Inc (NASDAQ:WING), and Pernix Therapeutics Holdings Inc (NASDAQ:PTX). Let’s dive in and find out why each stock is trending and see how elite funds are positioned among them.

Hedge fund sentiment is an important metric for assessing the long-term profitability. At Insider Monkey, we track over 770 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).

Buckle Comps Drop

Buckle Inc (NYSE:BKE) is buzzing today after the retailer announced its comparable net store sales dropped by 10.6% year-over-year for the five week period ended July 2. For the 22-week period, Buckle’s comparable store net sales year-to-date fell by 11%. Although the same store sales comp news wasn’t good, it seems the market was expecting similar numbers as Buckle shares are flat in pre-market trading. Of the 766 funds we track, 16 funds owned $182.96 million worth of Buckle Inc (NYSE:BKE)’s stock, which accounted for 11.10% of the float on March 31, versus 11 funds and $217.29 million, respectively, on December 31.

House Considers Blocking Iranian Jet Deal 

Although selling more airplanes would certainly help the U.S. economy, the House of Representatives is nevertheless considering blocking the sale of $17.6 billion worth of Boeing Co (NYSE:BA) aircraft to Iran. Iran is not exactly an ally of the United States and some think tanks have accused Iran of hurting U.S. interests in the Middle East. Boeing currently has a tentative deal to sell 80 airplanes and to lease another 29 to Iran Air beginning in 2017. It remains to be seen if the House will actually block the sale, however. Among the funds in our database, 37 funds had a bullish position in Boeing Co (NYSE:BA) at the end of March, down by five from the previous quarter.

On the next page, we find out why Ford Motor Company, Wingstop, and Pernix Therapeutics Holdings are in the spotlight. 

Ford China Sales Rise

Ford Motor Company (NYSE:F) reported decent news concerning its Chinese division today. For the month of June, the car maker sold 85,105 vehicles, up by 2.6% year-over-year. For the first six months, the company sold 577,097 vehicles, up by 6% year-over-year. Although the growth pace is slower, the sales still aren’t bad considering China’s economic slowdown. A total of 33 funds tracked by us had a long position in Ford Motor Company (NYSE:F) at the end of the first quarter.

Analyst Gives Thumbs Up to Wingstop 

Wingstop Inc (NASDAQ:WING)’s shares are in the green in pre-market trading after analysts at Wedbush initiated an ‘Outperform’ rating and $35 price target on the stock. Shares of Wingstop have been trending higher since mid-November of last year and have appreciated by 34% year-to-date. Management will need to execute, however, if the stock is to continue higher. Shares currently trade for 45 times next year’s earnings estimates. At the end of March, 15 funds from our database were long Wingstop Inc (NASDAQ:WING), up by six from the previous quarter.

Pernix Cuts Costs

Nano-cap Pernix Therapeutics Holdings Inc (NASDAQ:PTX) is higher before the bell after the company announced a restructuring initiative that will reduce its full time workforce by around 23%. The initiative is expected to save $10 million a year beginning in the third quarter. The company expects to take a one time charge of $2 million in relation to the reorganization. As with all nano-caps, investors should do due-diligence before buying or selling. The number of funds tracked by Insider Monkey with holdings in Pernix Therapeutics Holdings Inc (NASDAQ:PTX) fell by four quarter-over-quarter to 10 at the end of March.

Disclosure: none