Trustmark Corp (NASDAQ:TRMK) was in 6 hedge funds’ portfolio at the end of the first quarter of 2013. TRMK has experienced a decrease in activity from the world’s largest hedge funds recently. There were 6 hedge funds in our database with TRMK positions at the end of the previous quarter.
To most shareholders, hedge funds are viewed as unimportant, old financial vehicles of yesteryear. While there are over 8000 funds trading at present, we choose to focus on the aristocrats of this club, close to 450 funds. It is widely believed that this group oversees the majority of the smart money’s total asset base, and by watching their best picks, we have uncovered a few investment strategies that have historically outpaced the market. Our small-cap hedge fund strategy beat the S&P 500 index by 18 percentage points per annum for a decade in our back tests, and since we’ve started sharing our picks with our subscribers at the end of August 2012, we have trumped the S&P 500 index by 23.3 percentage points in 8 months (see the details here).
Just as important, positive insider trading sentiment is another way to break down the world of equities. Just as you’d expect, there are a number of stimuli for a bullish insider to cut shares of his or her company, but just one, very simple reason why they would behave bullishly. Plenty of empirical studies have demonstrated the market-beating potential of this strategy if you understand what to do (learn more here).
Keeping this in mind, we’re going to take a glance at the key action regarding Trustmark Corp (NASDAQ:TRMK).
What have hedge funds been doing with Trustmark Corp (NASDAQ:TRMK)?
In preparation for this quarter, a total of 6 of the hedge funds we track were long in this stock, a change of 0% from one quarter earlier. With the smart money’s capital changing hands, there exists a few notable hedge fund managers who were boosting their stakes meaningfully.
Of the funds we track, Chuck Royce’s Royce & Associates had the biggest position in Trustmark Corp (NASDAQ:TRMK), worth close to $14.5 million, accounting for less than 0.1%% of its total 13F portfolio. On Royce & Associates’s heels is Citadel Investment Group, managed by Ken Griffin, which held a $2.3 million position; less than 0.1%% of its 13F portfolio is allocated to the company. Some other peers that are bullish include Israel Englander’s Millennium Management, Cliff Asness’s AQR Capital Management and Paul Tudor Jones’s Tudor Investment Corp.
Judging by the fact that Trustmark Corp (NASDAQ:TRMK) has experienced a declination in interest from the aggregate hedge fund industry, we can see that there lies a certain “tier” of money managers who were dropping their entire stakes in Q1. Intriguingly, Jim Simons’s Renaissance Technologies dumped the largest position of the 450+ funds we monitor, comprising close to $2 million in stock., and D. E. Shaw of D E Shaw was right behind this move, as the fund dumped about $0.7 million worth. These bearish behaviors are intriguing to say the least, as total hedge fund interest stayed the same (this is a bearish signal in our experience).
How have insiders been trading Trustmark Corp (NASDAQ:TRMK)?
Insider trading activity, especially when it’s bullish, is particularly usable when the company in question has experienced transactions within the past 180 days. Over the latest six-month time frame, Trustmark Corp (NASDAQ:TRMK) has seen zero unique insiders buying, and 3 insider sales (see the details of insider trades here).
Let’s check out hedge fund and insider activity in other stocks similar to Trustmark Corp (NASDAQ:TRMK). These stocks are IBERIABANK Corporation (NASDAQ:IBKC), EverBank Financial Corp (NYSE:EVER), BancorpSouth, Inc. (NYSE:BXS), Bank Of The Ozarks Inc (NASDAQ:OZRK), and F.N.B. Corp (NYSE:FNB). All of these stocks are in the regional – southeast banks industry and their market caps match TRMK’s market cap.
|Company Name||# of Hedge Funds||# of Insiders Buying||# of Insiders Selling|
|IBERIABANK Corporation (NASDAQ:IBKC)||9||1||3|
|EverBank Financial Corp (NYSE:EVER)||10||0||11|
|BancorpSouth, Inc. (NYSE:BXS)||12||1||2|
|Bank Of The Ozarks Inc (NASDAQ:OZRK)||5||5||9|
|F.N.B. Corp (NYSE:FNB)||4||0||3|
With the results exhibited by Insider Monkey’s studies, everyday investors should always watch hedge fund and insider trading activity, and Trustmark Corp (NASDAQ:TRMK) shareholders fit into this picture quite nicely.