We, at Insider Monkey, have gone over 700 13F filings that hedge funds and prominent investors are required to file by the government. The 13F filings show the funds’ and investors’ portfolio positions as of September 30. In this article, we look at what those funds think of Columbia Pipeline Group Inc (NYSE:CPGX) based on that data.
Columbia Pipeline Group Inc (NYSE:CPGX) has seen an increase in activity from the world’s largest hedge funds lately. At the end of this article, we will also compare Columbia Pipeline Group Inc (NYSE:CPGX) to other stocks, including Lamar Advertising Co (NASDAQ:LAMR), A. O. Smith Corporation (NYSE:AOS), and Apartment Investment and Management Co. (NYSE:AIV) to get a better sense of its popularity.
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At the moment, there are a multitude of tools stock traders use to appraise their holdings. A couple of the most underrated tools are hedge fund and insider trading activity. Our researchers have shown that, historically, those who follow the best picks of the best hedge fund managers can outclass the S&P 500 by a superb amount (see the details here).
With all of this in mind, we’re going to take a glance at the key action encompassing Columbia Pipeline Group Inc (NYSE:CPGX).
What does the smart money think about Columbia Pipeline Group Inc (NYSE:CPGX)?
At the end of Q3, a total of 25 of the hedge funds tracked by Insider Monkey were bullish on this stock, an increase of 733% from the previous quarter. With the smart money’s capital changing hands, there exists a few key hedge fund managers who were boosting their stakes substantially (or already accumulated large positions).
Of the funds tracked by Insider Monkey, Hitchwood Capital Management, managed by James Crichton, holds the most valuable position in Columbia Pipeline Group Inc (NYSE:CPGX). Hitchwood Capital Management has a $91.5 million position in the stock, comprising 3.2% of its 13F portfolio. Sitting at the No. 2 spot is D E Shaw, holding a $49.5 million position; 0.1% of its 13F portfolio is allocated to the stock. Remaining professional money managers that are bullish comprise Renaissance Technologies, Stuart J. Zimmer’s Zimmer Partners, and Ken Griffin’s Citadel Investment Group.
With a general bullishness amongst the heavyweights, key hedge funds were breaking ground themselves. D E Shaw established the largest position in Columbia Pipeline Group Inc (NYSE:CPGX). D E Shaw had $49.5 million invested in the company at the end of the quarter. Renaissance Technologies also initiated a $35.5 million position during the quarter. The other funds with brand new Columbia Pipeline Group Inc (NYSE:CPGX) positions are Ken Griffin’s Citadel Investment Group, Peter Muller’s PDT Partners, and Phill Gross and Robert Atchinson’s Adage Capital Management.
Let’s check out hedge fund activity in other stocks – not necessarily in the same industry as Columbia Pipeline Group Inc (NYSE:CPGX) but similarly valued. We will take a look at Lamar Advertising Co (NASDAQ:LAMR), A. O. Smith Corporation (NYSE:AOS), Apartment Investment and Management Co. (NYSE:AIV), and Crescent Point Energy Corp (NYSE:CPG). This group of stocks’ market valuations is similar to Columbia Pipeline Group Inc (NYSE:CPGX)’s market valuation.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| LAMR | 26 | 463611 | -5 |
| AOS | 31 | 368076 | 5 |
| AIV | 17 | 185271 | 3 |
| CPG | 17 | 90219 | 4 |
As you can see, these stocks had an average of 23 hedge funds with bullish positions and the average amount invested in these stocks was $277 million. That figure was $355 million in Columbia Pipeline Group Inc (NYSE:CPGX)’s case. A. O. Smith Corporation (NYSE:AOS) is the most popular stock in this table. On the other hand, Apartment Investment and Management Co. (NYSE:AIV) is the least popular one with only 17 bullish hedge fund positions. Columbia Pipeline Group Inc (NYSE:CPGX) is not the most popular stock in this group, but hedge fund interest is still above average. This is a slightly positive signal, but we’d rather spend our time researching stocks that hedge funds are piling on. In this regard, A. O. Smith Corporation (NYSE:AOS) might be a better candidate to consider a long position.
