Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Wesco Aircraft Holdings Inc (WAIR): Are Hedge Funds Right About This Stock?

Page 1 of 2

Hedge fund managers like David Einhorn, Dan Loeb, or Carl Icahn became billionaires through reaping large profits for their investors, which is why piggybacking their stock picks may provide us with significant returns as well. Many hedge funds, like Paul Singer’s Elliott Management, are pretty secretive, but we can still get some insights by analyzing their quarterly 13F filings. One of the most fertile grounds for large abnormal returns is hedge funds’ most popular small-cap picks, which are not so widely followed and often trade at a discount to their intrinsic value. In this article we will check out hedge fund activity in another small-cap stock: Wesco Aircraft Holdings Inc (NYSE:WAIR).

Wesco Aircraft Holdings’ stock has lost 12% since the beginning of the year and is trading at 11.9 times forward earnings. However, the best stock pickers are in a pessimistic mood and the number of long hedge fund bets decreased by 4 in recent months. At the end of this article we will also compare WAIR to other stocks, including BBCN Bancorp, Inc. (NASDAQ:BBCN), TopBuild Corp (NYSE:BLD), and Talmer Bancorp Inc (NASDAQ:TLMR) to get a better sense of its popularity.

Follow Wesco Aircraft Holdings Inc (NYSE:WAIR)
Trade (NYSE:WAIR) Now!

Today there are plenty of indicators shareholders put to use to assess their stock investments. A duo of the most innovative indicators are hedge fund and insider trading activity. We have shown that, historically, those who follow the top picks of the elite fund managers can outpace the S&P 500 by a very impressive amount (see the details here).

Keeping this in mind, let’s take a peek at the latest action surrounding Wesco Aircraft Holdings Inc (NYSE:WAIR).

How are hedge funds trading Wesco Aircraft Holdings Inc (NYSE:WAIR)?

Heading into Q4, a total of 13 of the hedge funds tracked by Insider Monkey were bullish on this stock, a decline of 24% from the second quarter. With hedgies’ sentiment swirling, there exists an “upper tier” of noteworthy hedge fund managers who were boosting their holdings substantially (or already accumulated large positions).

According to publicly available hedge fund and institutional investor holdings data compiled by Insider Monkey, Thomas Bancroft’s Makaira Partners has the largest position in Wesco Aircraft Holdings Inc (NYSE:WAIR), worth close to $89.3 million, amounting to 14.5% of its total 13F portfolio. Sitting at the No. 2 spot is MSD Capital, led by Glenn Fuhrman and John Phelan, holding a $62.5 million position; the fund has 8.3% of its 13F portfolio invested in the stock. Some other professional money managers with similar optimism comprise Wallace Weitz’s Wallace R. Weitz & Co., Chuck Royce’s Royce & Associates, and Charles Clough’s Clough Capital Partners.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...
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 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!