#4 Headwaters Inc (NYSE:HW)
– Investors with long positions (as of March 31): 24
– Aggregate value of investors’ holdings (as of March 31): $146.14 million
Headwaters Inc (NYSE:HW) is the only company in this list which saw a decline in its ownership among funds covered by us during the first quarter. Interestingly, despite the ownership of the company among funds tracked by us decreasing by five in that period, the aggregate value of their holdings in it remained nearly the same. Billionaire David E. Shaw‘s firm D.E. Shaw was one of the hedge funds that increased its stake in the company during the first quarter, by 9% to 376,351 shares. Headwaters Inc (NYSE:HW)’s stock has appreciated by 11.61% thus far in 2016, but is finding it extremely hard to trade above the $20 mark, which it breached for the first time last year in August. The company has consistently beat analysts’ earnings projection in the last 8 quarters and several analysts think that this trend might continue in the coming quarters.
#3 Eagle Materials, Inc. (NYSE:EXP)
– Investors with long positions (as of March 31): 30
– Aggregate value of investors’ holdings (as of March 31): $487.16 million
Though Eagle Materials, Inc. (NYSE:EXP)’s stock has had a stellar rally this year, registering gains of nearly 35% so far, it is still down 2% from the same time last year. During the first quarter, the number of hedge funds covered by us long Eagle Materials, Inc. (NYSE:EXP) rose by two and the aggregate value of their holdings in it climbed up by $22.8 million. Hedge funds that initiated a stake in Eagle Materials, Inc. during that period included Richard S. Meisenberg‘s ACK Asset Management, which purchased 370,000 shares of the company. Eagle Materials has kept its quarterly dividend of $0.10 per share unchanged for the past several years, despite witnessing a threefold increase in its stock price since 2012, due to which the stock currently sports an annual dividend yield of only 0.5%. On May 18, the company reported its fiscal 2016 fourth quarter numbers, which managed to beat analysts’ projections by a wide margin. While the Street had expected Eagle Materials to report EPS of $0.64 on revenue of $226.21 million, the company declared EPS of $0.80 on revenue of $252.10 million for the quarter.