Is Griffon Corporation (NYSE:GFF) undervalued? Investors who are in the know are becoming less hopeful. The number of long hedge fund positions stayed the same which is a slightly negative development in our experience
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Now, we’re going to take a peek at the key action encompassing Griffon Corporation (NYSE:GFF).
What have hedge funds been doing with Griffon Corporation (NYSE:GFF)?
At the end of the fourth quarter, a total of 9 of the hedge funds we track were long in this stock, a change of 0% from the third quarter. With hedge funds’ positions undergoing their usual ebb and flow, there exists an “upper tier” of notable hedge fund managers who were upping their stakes substantially.
When looking at the hedgies we track, Mario Gabelli’s GAMCO Investors had the biggest position in Griffon Corporation (NYSE:GFF), worth close to $72.2 million, comprising 0.5% of its total 13F portfolio. Sitting at the No. 2 spot is Richard S. Pzena of Pzena Investment Management, with a $31.4 million position; 0.3% of its 13F portfolio is allocated to the company. Remaining hedgies that hold long positions include Doug Silverman’s Senator Investment Group, D. E. Shaw’s D E Shaw and Chuck Royce’s Royce & Associates.
Since Griffon Corporation (NYSE:GFF) has witnessed a declination in interest from hedge fund managers, we can see that there lies a certain “tier” of funds that slashed their positions entirely heading into 2013. Interestingly, Jean-Marie Eveillard’s First Eagle Investment Management said goodbye to the biggest investment of the “upper crust” of funds we key on, valued at an estimated $0 million in stock. These transactions are important to note, as aggregate hedge fund interest stayed the same (this is a bearish signal in our experience).
How are insiders trading Griffon Corporation (NYSE:GFF)?
Insider buying is at its handiest when the company in focus has seen transactions within the past 180 days. Over the latest six-month time period, Griffon Corporation (NYSE:GFF) has experienced zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
Let’s also review hedge fund and insider activity in other stocks similar to Griffon Corporation (NYSE:GFF). These stocks are Trex Company, Inc. (NYSE:TREX), Apogee Enterprises, Inc. (NASDAQ:APOG), Headwaters Inc (NYSE:HW), Universal Forest Products, Inc. (NASDAQ:UFPI), and AAON, Inc. (NASDAQ:AAON). This group of stocks are in the general building materials industry and their market caps match GFF’s market cap.