Should Host Hotels and Resorts Inc (NYSE:HST) investors track the following data?
In the 21st century investor’s toolkit, there are dozens of indicators market participants can use to track Mr. Market. A couple of the most innovative are hedge fund and insider trading interest. At Insider Monkey, our studies have shown that, historically, those who follow the top picks of the top money managers can beat their index-focused peers by a solid amount (see just how much).
Equally as useful, optimistic insider trading activity is another way to look at the world of equities. As the old adage goes: there are lots of reasons for an upper level exec to downsize shares of his or her company, but only one, very clear reason why they would initiate a purchase. Plenty of empirical studies have demonstrated the useful potential of this method if you know what to do (learn more here).
Furthermore, it’s important to discuss the latest info for Host Hotels and Resorts Inc (NYSE:HST).
What does the smart money think about Host Hotels and Resorts Inc (NYSE:HST)?
Heading into Q3, a total of 17 of the hedge funds we track held long positions in this stock, a change of -15% from one quarter earlier. With hedgies’ sentiment swirling, there exists a select group of noteworthy hedge fund managers who were boosting their holdings significantly.
According to our 13F database, Jeffrey Furber’s AEW Capital Management had the biggest position in Host Hotels and Resorts Inc (NYSE:HST), worth close to $148.6 million, comprising 3.9% of its total 13F portfolio. The second largest stake is held by Capital Growth Management, managed by Ken Heebner, which held a $68.7 million position; the fund has 1.8% of its 13F portfolio invested in the stock. Some other hedgies that are bullish include John Overdeck and David Siegel’s Two Sigma Advisors, Phill Gross and Robert Atchinson’s Adage Capital Management and Cliff Asness’s AQR Capital Management.
Judging by the fact that Host Hotels and Resorts Inc (NYSE:HST) has experienced dropping sentiment from upper-tier hedge fund managers, logic holds that there is a sect of money managers who were dropping their full holdings last quarter. At the top of the heap, Christopher MedlockáJames’s Partner Fund Management sold off the biggest investment of the 450+ funds we monitor, worth about $81.6 million in stock, and Malcolm Fairbairn of Ascend Capital was right behind this move, as the fund said goodbye to about $36.7 million worth. These moves are important to note, as total hedge fund interest was cut by 3 funds last quarter.
How are insiders trading Host Hotels and Resorts Inc (NYSE:HST)?
Bullish insider trading is best served when the primary stock in question has seen transactions within the past six months. Over the last six-month time frame, Host Hotels and Resorts Inc (NYSE:HST) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).
We’ll also review the relationship between both of these indicators in other stocks similar to Host Hotels and Resorts Inc (NYSE:HST). These stocks are Strategic Hotels and Resorts Inc (NYSE:BEE), DiamondRock Hospitality Company (NYSE:DRH), Sunstone Hotel Investors Inc (NYSE:SHO), LaSalle Hotel Properties (NYSE:LHO), and RLJ Lodging Trust (NYSE:RLJ). All of these stocks are in the reit – hotel/motel industry and their market caps are closest to HST’s market cap.