Is Anheuser-Busch InBev NV (ADR) (NYSE:BUD) a buy?
In today’s marketplace, there are tons of methods investors can use to analyze their holdings. A duo of the most under-the-radar are hedge fund and insider trading activity. At Insider Monkey, our studies have shown that, historically, those who follow the top picks of the best investment managers can outpace the S&P 500 by a superb margin (see just how much).
Equally as key, positive insider trading sentiment is another way to look at the stock market universe. As the old adage goes: there are many reasons for a corporate insider to downsize shares of his or her company, but only one, very simple reason why they would behave bullishly. Several empirical studies have demonstrated the valuable potential of this strategy if “monkeys” know where to look (learn more here).
Now that that’s out of the way, it’s important to discuss the newest info about Anheuser-Busch InBev NV (ADR) (NYSE:BUD).
Hedge fund activity in Anheuser-Busch InBev NV (ADR) (NYSE:BUD)
At the end of the second quarter, a total of 33 of the hedge funds we track held long positions in this stock, a change of 6% from one quarter earlier. With hedgies’ sentiment swirling, there exists an “upper tier” of noteworthy hedge fund managers who were boosting their stakes significantly.
As industrywide interest increased, certain money managers were breaking ground themselves. Gardner Russo & Gardner, managed by Tom Russo, created the largest position in Anheuser-Busch InBev NV (ADR) (NYSE:BUD). Gardner Russo & Gardner had 412.8 million invested in the company at the end of the quarter. Daniel S. Och’s OZ Management also made a $287.1 million investment in the stock during the quarter. The following funds were also among the new BUD investors: Robert Rodriguez and Steven Romick’s First Pacific Advisors LLC, Richard Chilton’s Chilton Investment Company, and Lee Ainslie’s Maverick Capital.
How are insiders trading Anheuser-Busch InBev NV (ADR) (NYSE:BUD)?
Bullish insider trading is most useful when the company in focus has seen transactions within the past half-year. Over the last 180-day time frame, Anheuser-Busch InBev NV (ADR) (NYSE:BUD) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We’ll also take a look at the relationship between both of these indicators in other stocks similar to Anheuser-Busch InBev NV (ADR) (NYSE:BUD). These stocks are Boston Beer Co Inc (NYSE:SAM), Compania Cervecerias Unidas S.A. (ADR) (NYSE:CCU), Molson Coors Brewing Company (NYSE:TAP), Fomento Economico Mexicano SAB (ADR) (NYSE:FMX), and Companhia de Bebidas das Americas (ADR) (NYSE:ABV). This group of stocks belong to the beverages – brewers industry and their market caps resemble BUD’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Boston Beer Co Inc (NYSE:SAM) | 7 | 0 | 8 |
| Compania Cervecerias Unidas S.A. (ADR) (NYSE:CCU) | 4 | 0 | 0 |
| Molson Coors Brewing Company (NYSE:TAP) | 24 | 0 | 9 |
| Fomento Economico Mexicano SAB (ADR) (NYSE:FMX) | 22 | 0 | 0 |
| Companhia de Bebidas das Americas (ADR) (NYSE:ABV) | 23 | 0 | 0 |
Using the results shown by our strategies, average investors must always keep one eye on hedge fund and insider trading activity, and Anheuser-Busch InBev NV (ADR) (NYSE:BUD) is an important part of this process.
