Genworth Financial Inc (GNW) Jumps After Rumors Of Australia Exit

How are hedge funds trading Genworth Financial Inc (NYSE:GNW)?

The overall sentiment among hedge funds we track is that Genworth Financial Inc (NYSE:GNW) is not a good stock to buy. At the end of March, 29 investors held long positions representing $315.3 million worth of stock. It’s important to mention that during the first three months of the year, the number of funds holding shares declined by seven, while the aggregate value of their stakes fell by 20.13%. The stock only declined by 14% in the first quarter, which means hedge funds were reducing their stakes in the company. Nonetheless, a substantial 8.69% of the firm’s outstanding stock is owned by hedge funds from our database.

Richard S. Pzena’s Pzena Investment Management increased its position to 7.72 million shares during the second quarter from  6.51 million shares a quarter earlier. However, at the end of March, the largest shareholder from our database was Bill Miller’s Legg Mason Capital Management, which owned 9.16 million shares. In addition, during the first quarter,  Zac Hirzel’s Hirzel Capital Management initiated the largest position in Genworth Financial, buying 3.43 million shares.

Even though today’s news marked an increase for Genworth Financial Inc (NYSE:GNW)’s stock, we still don’t consider that the company represents a good long-term investment, since it has to further improve its financial situation.

Disclosure: None