Hedge Funds Are Betting On Prologis Inc (PLD)
What's a smart Prologis Inc (NYSE:PLD) investor to do?
To the average investor, there are many methods investors can use to analyze the equity markets. Two of the most under-the-radar are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the best money managers can trounce their index-focused peers by a healthy margin (see just how much).
Just as crucial, bullish insider trading sentiment is another way to look at the world of equities. There are a number of incentives for a bullish insider to downsize shares of his or her company, but only one, very simple reason why they would initiate a purchase. Many empirical studies have demonstrated the valuable potential of this method if you know what to do (learn more here).
Thus, let's study the newest info for Prologis Inc (NYSE:PLD).
What does the smart money think about Prologis Inc (NYSE:PLD)?
In preparation for the third quarter, a total of 24 of the hedge funds we track were bullish in this stock, a change of 33% from the previous quarter. With the smart money's positions undergoing their usual ebb and flow, there exists a select group of notable hedge fund managers who were upping their holdings substantially.
Out of the hedge funds we follow, AEW Capital Management, managed by Jeffrey Furber, holds the biggest position in Prologis Inc (NYSE:PLD). AEW Capital Management has a $210.6 million position in the stock, comprising 5.5% of its 13F portfolio. The second largest stake is held by D. E. Shaw of D E Shaw, with a $78.3 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Some other peers with similar optimism include Ken Griffin's Citadel Investment Group, Phill Gross and Robert Atchinson's Adage Capital Management and Cliff Asness's AQR Capital Management.
Now, particular hedge funds were leading the bulls' herd. AEW Capital Management, managed by Jeffrey Furber, established the most valuable position in Prologis Inc (NYSE:PLD). AEW Capital Management had 210.6 million invested in the company at the end of the quarter. D. E. Shaw's D E Shaw also initiated a $78.3 million position during the quarter. The other funds with new positions in the stock are Ken Griffin's Citadel Investment Group, Phill Gross and Robert Atchinson's Adage Capital Management, and Cliff Asness's AQR Capital Management.
What do corporate executives and insiders think about Prologis Inc (NYSE:PLD)?
Bullish insider trading is best served when the company in focus has experienced transactions within the past 180 days. Over the latest 180-day time period, Prologis Inc (NYSE:PLD) has experienced zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We'll check out the relationship between both of these indicators in other stocks similar to Prologis Inc (NYSE:PLD). These stocks are DCT Industrial Trust Inc. (NYSE:DCT), CubeSmart (NYSE:CUBE), Biomed Realty Trust Inc (NYSE:BMR), Extra Space Storage, Inc. (NYSE:EXR), and Duke Realty Corp (NYSE:DRE). This group of stocks are the members of the reit - industrial industry and their market caps are similar to PLD's market cap.
# of Hedge Funds
# of Insiders Buying
# of Insiders Selling
DCT Industrial Trust Inc. (NYSE:DCT)
Biomed Realty Trust Inc (NYSE:BMR)
Extra Space Storage, Inc. (NYSE:EXR)
Duke Realty Corp (NYSE:DRE)
Using the results explained by our strategies, average investors must always watch hedge fund and insider trading activity, and Prologis Inc (NYSE:PLD) applies perfectly to this mantra.