Hyatt Hotels Corporation (NYSE:H) was in 17 hedge funds’ portfolio at the end of March. H has experienced an increase in enthusiasm from smart money in recent months. There were 16 hedge funds in our database with H holdings at the end of the previous quarter.
Just as integral, optimistic insider trading activity is another way to break down the financial markets. Obviously, there are many stimuli for an insider to sell shares of his or her company, but only one, very clear reason why they would initiate a purchase. Many academic studies have demonstrated the impressive potential of this strategy if “monkeys” understand what to do (learn more here).
Now, it’s important to take a look at the latest action regarding Hyatt Hotels Corporation (NYSE:H).
What does the smart money think about Hyatt Hotels Corporation (NYSE:H)?
At the end of the first quarter, a total of 17 of the hedge funds we track held long positions in this stock, a change of 6% from one quarter earlier. With hedge funds’ positions undergoing their usual ebb and flow, there exists a select group of key hedge fund managers who were upping their stakes meaningfully.
According to our comprehensive database, Citadel Investment Group, managed by Ken Griffin, holds the most valuable position in Hyatt Hotels Corporation (NYSE:H). Citadel Investment Group has a $50.8 million position in the stock, comprising 0.1% of its 13F portfolio. On Citadel Investment Group’s heels is Michael R. Weisberg of Crestwood Capital Management, with a $24.5 million position; the fund has 3% of its 13F portfolio invested in the stock. Remaining peers with similar optimism include John Khoury’s Long Pond Capital, Martin Whitman’s Third Avenue Management and D. E. Shaw’s D E Shaw.
Now, some big names were leading the bulls’ herd. Third Avenue Management, managed by Martin Whitman, assembled the most outsized position in Hyatt Hotels Corporation (NYSE:H). Third Avenue Management had 15.3 million invested in the company at the end of the quarter. Andrew Sandler’s Sandler Capital Management also initiated a $11.6 million position during the quarter. The following funds were also among the new H investors: Jim Simons’s Renaissance Technologies, Dmitry Balyasny’s Balyasny Asset Management, and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.
What do corporate executives and insiders think about Hyatt Hotels Corporation (NYSE:H)?
Insider trading activity, especially when it’s bullish, is best served when the primary stock in question has seen transactions within the past half-year. Over the latest half-year time period, Hyatt Hotels Corporation (NYSE:H) has seen zero unique insiders purchasing, and 3 insider sales (see the details of insider trades here).
Let’s also review hedge fund and insider activity in other stocks similar to Hyatt Hotels Corporation (NYSE:H). These stocks are Marriott International Inc (NYSE:MAR), Starwood Hotels & Resorts Worldwide, Inc (NYSE:HOT), Wyndham Worldwide Corporation (NYSE:WYN), InterContinental Hotels Group PLC (ADR) (NYSE:IHG), and Expedia Inc (NASDAQ:EXPE). All of these stocks are in the lodging industry and their market caps resemble H’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Marriott International Inc (NYSE:MAR) | 22 | 0 | 13 |
| Starwood Hotels & Resorts Worldwide, Inc (NYSE:HOT) | 38 | 0 | 12 |
| Wyndham Worldwide Corporation (NYSE:WYN) | 33 | 0 | 9 |
| InterContinental Hotels Group PLC (ADR) (NYSE:IHG) | 10 | 0 | 0 |
| Expedia Inc (NASDAQ:EXPE) | 32 | 1 | 2 |
With the results shown by the aforementioned research, retail investors should always watch hedge fund and insider trading activity, and Hyatt Hotels Corporation (NYSE:H) is an important part of this process.
