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.

Why Investors Are Buzzing About Janus Capital, Deutsche Bank, Freeport-McMoRan, and More

Page 1 of 2

On the first trading day of the new quarter, the Dow, S&P, and Nasdaq indexes have each opened moderately in the red, as profit-taking and uncertainty over the global economy takes hold.

In this article, we’ll take a closer look at why Janus Capital Group Inc (NYSE:JNS), Freeport-McMoRan Inc (NYSE:FCX), Marathon Oil Corporation (NYSE:MRO), Deutsche Bank AG (USA) (NYSE:DB), and Watsco Inc (NYSE:WSO) are each in the spotlight and dig deep into SEC filings to determine how some of the most successful investors were positioned among the five stocks at the end of the second quarter.

Through extensive research, we determined that imitating some of the picks of hedge funds and other institutional investors can help generate market-beating returns over the long run. The key is to focus on the small-cap picks of these investors, since they are usually less followed by the broader market and are less price-efficient. Our backtests that covered the period between 1999 and 2012, showed that following the 15 most popular small-caps among hedge funds can help a retail investor beat the market by an average of 95 basis points per month (see the details here).

Oil Drilling Rig Big

Consolidation in the financial services industry is alive and well, as the Board of Directors of both Janus Capital Group Inc (NYSE:JNS) and Henderson Group plc have unanimously agreed to an all-stock merger of equals. The combined company will be named Janus Henderson Global Investors plc and will manage around $320 billion in assets, potentially giving star manager Bill Gross another opportunity to create a giant in the fixed income sector. According to the two firms, the combined company will aim for annual net cost synergies of $110 million or more following the first 12 months after the deal’s close (the companies expect the $110 million to be fully realized three years after completion). They also expect the synergies to deliver double-digit accretion to EPS in the first 12 months following the closing of the deal, which is expected in the second quarter of 2017. Not surprisingly, shares of Janus are 17% in the green in morning trading. John W. Rogers‘ Ariel Investments trimmed its stake in Janus Capital Group Inc (NYSE:JNS) by 3% during the second quarter, to just under 7.5 million shares at the end of June.

Follow Janus Capital Group Inc (NYSE:JNS)
Trade (NYSE:JNS) Now!

Freeport-McMoRan Inc (NYSE:FCX) shares are 2.7% in the green after Deutsche Bank bumped up its price target on the stock to $12.50 from $12 and upgraded its rating on it to ‘Buy’ from ‘Hold’. The analysts at the investment bank like how the company is getting its financial house in order and how a potential copper rebound could provide Freeport-McMoRan with further upside. Of the 749 hedge funds that we track which filed 13Fs for the June quarter, 30 funds owned $1.52 billion in Freeport-McMoRan Inc (NYSE:FCX) shares on June 30, which accounted for 10.90% of the float.

Follow Freeport-Mcmoran Inc (NYSE:FCX)
Trade (NYSE:FCX) Now!

On the next page, we’ll take a closer look at why Marathon Oil Corporation, Deutsche Bank, and Watsco are making headlines today.

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...

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!