At Insider Monkey, we track around 765 hedge funds and institutional investors. Through extensive backtests, we have determined that imitating some of the stocks that these investors are collectively bullish on, can help retail investors generate double digits of alpha per year. The key is to focus on the small-cap picks of these funds, which are usually less followed by the broader market and allow for larger price inefficiencies (see the details here).
Goldman Sachs Reports Strong Results
Goldman Sachs Group Inc (NYSE:GS) shares are slightly in the red in the pre-market hours despite the company reporting EPS of $3.72 on revenue of $7.93 billion, beating the consensus estimates by a healthy $0.72 per share and $350 million respectively. Although the bottom-line beat is pretty respectable, the top-line beat did equate to Goldman’s revenue falling by 12.6% year-over-year, led by an 11% decline in investment banking revenue and a 17% decline in underwriting revenue. On a positive note, Goldman’s tangible book value inched up by 2% to $166.90 per share, slightly above the company’s current share price. Warren Buffett‘s Berkshire Hathaway was one of the top shareholders of Goldman Sachs Group Inc (NYSE:GS) at the end of March, owning 10.96 million shares.
Lockheed Beats Estimates
Lockheed Martin Corporation (NYSE:LMT) is 1.17% in the green this morning after the defense giant reported earnings of $3.32 per share, beating the bottom-line consensus estimate by $0.39 per share. In addition, revenue rose by 10.9% year-over-year to $12.91 billion, which beat top-line estimates by $350 million. Guidance was strong, with the company now expecting adjusted EPS of $12.15-to-$12.45 on sales of $50.0 billion-to-$51.5 billion, whereas prior guidance called for adjusted EPS of $11.50-to-$11.80 on revenue of $49.6 billion-to-$51.1 billion. Cliff Asness‘ AQR Capital Management reported a stake of over 450,000 shares in Lockheed Martin Corporation (NYSE:LMT) as of March 31.
On the next page we’ll take a look at the latest earnings reports and/or analyst ratings updates concerning W W Grainger, Belden Inc, and Star Bulk Carriers.