Here’s Why These Trending Stocks Are On The Move Today

Hartford Financial Services Group Inc (NYSE:HIG) is off by over 8% in morning trading after the insurance company reported disappointing earnings results. For the third quarter, the insurance company earned $0.86 per share on revenues of $4.56 billion, missing estimates by $0.12 per share and $190 million in revenue. Hartford’s earnings results were soft because of lower net investment income and higher catastrophe losses. Given normalizing interest rates should increase net investment income for future quarters and Hartford’s reasonable price-to-book ratio, we think the insurance company is still a good long-term holding, however. Many hedge funds also own Hartford Financial. 43 funds reported stakes worth $1.15 billion at the end of June. ClearBridge was among the elite funds that were long, with a holding of 2.03 million shares.

Cummins Inc. (NYSE:CMI) is down by 9.07% after reporting third quarter earnings of $2.14 per share on revenues of $4.6 billion, missing estimates by $0.46 per share and $310 million, respectively. Guidance is soft, with management expecting full year 2015 revenue to be between a range of flat and down by 2%, versus the prior guidance of revenue increasing by 2%-to-4%. Management is reacting to lower demand by trimming Cummins’ professional workforce by up to 2,000 employees, with expected annualized savings of $160 million-to-$200 million. Cummins may need China’s economy to pick up, along with the price of commodity prices, for results to meet expectations again. Hedge funds were mixed on Cummins Inc. (NYSE:CMI) in the second quarter. Although the number of funds long Cummins increased to 35 from 31, the total value of their holdings in the stock declined to $319.12 million from $368.9 million. Hedge funds we track owned just 1.30% of Cummins’ shares.

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