Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Here’s Why These 5 Stocks Are Trending Today

With crude oil and the broader indexes modestly in the red this morning, five companies, Bed Bath & Beyond Inc. (NASDAQ:BBBY), Valeant Pharmaceuticals Intl Inc (NYSE:VRX), ConAgra Foods Inc (NYSE:CAG), Wynn Resorts, Limited (NASDAQ:WYNN), and Lexmark International Inc (NYSE:LXK) are trending for various reasons. Let’s take a closer look at these stocks and peer into hedge fund holdings in them to see how the smart money crowd has been trading them.

At Insider Monkey, we track around 785 hedge funds and institutional investors. Through extensive backtests, we have determined that imitating some of the stocks that these investors are collectively bullish on, can help retail investors generate double digits of alpha per year. The key is to focus on the small-cap picks of these funds, which are usually less followed by the broader market and allow for larger price inefficiencies (see the details here).

Bed Bath & Beyond Inc. (NASDAQ:BBBY) is 5% in the green this morning after the company reported solid earnings for the fourth quarter of fiscal year 2015. For the period, the retailer made $1.85 per share on revenue of $3.42 billion, beating estimates by $0.04 per share and $30 million, respectively. For the full fiscal year, the company earned $5.10 per share on revenue of $12.1 billion. The solid earnings weren’t the only good news for shareholders, however, as Bed Bath & Beyond Inc. (NASDAQ:BBBY) also declared a quarterly dividend for the first time, of $0.125 per share, which currently provides a dividend yield of just under 1%. 23 elite funds in our system owned about 5.8% of the retailer’s float at the end of December, a sharp decrease from 33 funds at the end of September.

Follow Bed Bath & Beyond Inc (NASDAQ:BBBY)
Trade (NASDAQ:BBBY) Now!

Valeant Pharmaceuticals Intl Inc (NYSE:VRX) shares have surged 6% higher on the news that the company successfully won a commitment from the majority of its financial lenders to waive a default and ease some financial restrictions on its loans. In return for the waiver, Valeant has agreed to pay an additional one percentage point in interest on more than $11 billion of its term loans. The company will also pay a 50-basis-point fee to the lenders that agreed to the waiver. The waiver should give Valeant more breathing room to right its ship and control its debt. Valeant Pharmaceuticals Intl Inc (NYSE:VRX) was in the portfolios of 83 elite funds at the end of the fourth quarter, down by five from the end of the third quarter. Bill Ackman’s Pershing Square is one of the largest shareholders of the company and now sits on its board.

Follow Bausch Health Companies Inc. (NYSE:BHC)
Trade (NYSE:BHC) Now!

On the next page, we examine why ConAgra Foods, Wynn Resorts, and Lexmark International are trending this morning. 

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading...