Chart Industries, Inc. (NASDAQ:GTLS) has experienced an increase in hedge fund sentiment of late.
In the 21st century investor’s toolkit, there are a multitude of gauges investors can use to watch their holdings. Some of the most underrated are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the top hedge fund managers can trounce the S&P 500 by a superb amount (see just how much).
Equally as integral, bullish insider trading activity is another way to break down the marketplace. Obviously, there are many motivations for a bullish insider to sell shares of his or her company, but just one, very clear reason why they would buy. Many empirical studies have demonstrated the valuable potential of this tactic if shareholders know what to do (learn more here).
Now, let’s take a glance at the recent action surrounding Chart Industries, Inc. (NASDAQ:GTLS).
What does the smart money think about Chart Industries, Inc. (NASDAQ:GTLS)?
At the end of the first quarter, a total of 16 of the hedge funds we track held long positions in this stock, a change of 45% from one quarter earlier. With hedge funds’ sentiment swirling, there exists an “upper tier” of notable hedge fund managers who were increasing their stakes substantially.
According to our comprehensive database, Jim Simons’s Renaissance Technologies had the largest position in Chart Industries, Inc. (NASDAQ:GTLS), worth close to $21.9 million, comprising 0.1% of its total 13F portfolio. Coming in second is Drew Cupps of Cupps Capital Management, with a $16.3 million position; the fund has 1.6% of its 13F portfolio invested in the stock. Remaining hedgies with similar optimism include Charles Clough’s Clough Capital Partners, Brian Taylor’s Pine River Capital Management and Cliff Asness’s AQR Capital Management.
Consequently, some big names were leading the bulls’ herd. D E Shaw, managed by D. E. Shaw, established the most outsized position in Chart Industries, Inc. (NASDAQ:GTLS). D E Shaw had 6 million invested in the company at the end of the quarter. Israel Englander’s Millennium Management also made a $4.5 million investment in the stock during the quarter. The other funds with new positions in the stock are Israel Englander’s Catapult Capital Management, Phil Frohlich’s Prescott Group Capital Management, and John Overdeck and David Siegel’s Two Sigma Advisors.
What have insiders been doing with Chart Industries, Inc. (NASDAQ:GTLS)?
Insider buying is at its handiest when the company in question has experienced transactions within the past six months. Over the last six-month time period, Chart Industries, Inc. (NASDAQ:GTLS) has experienced zero unique insiders buying, and 6 insider sales (see the details of insider trades here).
Let’s also review hedge fund and insider activity in other stocks similar to Chart Industries, Inc. (NASDAQ:GTLS). These stocks are Mueller Industries, Inc. (NYSE:MLI), Allegheny Technologies Incorporated (NYSE:ATI), Sims Metal Management Ltd (ADR) (NYSE:SMS), Worthington Industries, Inc. (NYSE:WOR), and Carpenter Technology Corporation (NYSE:CRS). This group of stocks are in the metal fabrication industry and their market caps are similar to GTLS’s market cap.