Douglas Emmett, Inc. (NYSE:DEI) has seen a decrease in hedge fund interest recently.
In today’s marketplace, there are a multitude of gauges shareholders can use to watch stocks. Some of the best are hedge fund and insider trading sentiment. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the elite money managers can outpace the broader indices by a very impressive amount (see just how much).
Just as important, positive insider trading activity is another way to parse down the financial markets. Obviously, there are a variety of motivations for an insider to downsize shares of his or her company, but only one, very clear reason why they would behave bullishly. Plenty of academic studies have demonstrated the impressive potential of this method if you know what to do (learn more here).
With all of this in mind, we’re going to take a look at the latest action surrounding Douglas Emmett, Inc. (NYSE:DEI).
How are hedge funds trading Douglas Emmett, Inc. (NYSE:DEI)?
At Q1’s end, a total of 8 of the hedge funds we track were long in this stock, a change of 0% from the previous quarter. With the smart money’s sentiment swirling, there exists a select group of notable hedge fund managers who were upping their stakes substantially.
Of the funds we track, Jeffrey Furber’s AEW Capital Management had the biggest position in Douglas Emmett, Inc. (NYSE:DEI), worth close to $14 million, comprising 0.3% of its total 13F portfolio. The second largest stake is held by Citadel Investment Group, managed by Ken Griffin, which held a $8.9 million position; less than 0.1%% of its 13F portfolio is allocated to the company. Remaining hedge funds that are bullish include Jim Simons’s Renaissance Technologies, Cliff Asness’s AQR Capital Management and Israel Englander’s Millennium Management.
Judging by the fact that Douglas Emmett, Inc. (NYSE:DEI) has faced falling interest from hedge fund managers, it’s easy to see that there exists a select few hedgies who sold off their positions entirely heading into Q2. Intriguingly, Thomas Bailard’s Bailard Inc sold off the biggest position of the 450+ funds we monitor, totaling close to $0.4 million in stock.. Ken Griffin’s fund, Citadel Investment Group, also cut its call options., about $0 million worth. These moves are intriguing to say the least, as aggregate hedge fund interest stayed the same (this is a bearish signal in our experience).
Insider trading activity in Douglas Emmett, Inc. (NYSE:DEI)
Insider buying is particularly usable when the company we’re looking at has experienced transactions within the past six months. Over the latest six-month time period, Douglas Emmett, Inc. (NYSE:DEI) has seen zero unique insiders purchasing, and 1 insider sales (see the details of insider trades here).
Let’s go over hedge fund and insider activity in other stocks similar to Douglas Emmett, Inc. (NYSE:DEI). These stocks are National Retail Properties, Inc. (NYSE:NNN), Chimera Investment Corporation (NYSE:CIM), MFA Financial, Inc. (NYSE:MFA), Starwood Property Trust, Inc. (NYSE:STWD), and Retail Properties of America Inc (NYSE:RPAI). This group of stocks are in the reit – diversified industry and their market caps are similar to DEI’s market cap.