Camden Property Trust (NYSE:CPT) was in 11 hedge funds’ portfolio at the end of March. CPT investors should be aware of an increase in support from the world’s most elite money managers in recent months. There were 10 hedge funds in our database with CPT positions at the end of the previous quarter.
If you’d ask most investors, hedge funds are perceived as worthless, old investment tools of the past. While there are over 8000 funds with their doors open at the moment, we at Insider Monkey choose to focus on the bigwigs of this group, about 450 funds. It is estimated that this group has its hands on the majority of the hedge fund industry’s total asset base, and by keeping an eye on their highest performing equity investments, we have figured out a number of investment strategies that have historically outperformed Mr. Market. Our small-cap hedge fund strategy outperformed the S&P 500 index by 18 percentage points a year for a decade in our back tests, and since we’ve began to sharing our picks with our subscribers at the end of August 2012, we have outclassed the S&P 500 index by 23.3 percentage points in 8 months (check out a sample of our picks).
Just as key, optimistic insider trading sentiment is a second way to parse down the marketplace. There are plenty of stimuli for a bullish insider to get rid of shares of his or her company, but only one, very obvious reason why they would behave bullishly. Many academic studies have demonstrated the impressive potential of this method if piggybackers understand where to look (learn more here).
With all of this in mind, we’re going to take a glance at the latest action surrounding Camden Property Trust (NYSE:CPT).
Hedge fund activity in Camden Property Trust (NYSE:CPT)
Heading into Q2, a total of 11 of the hedge funds we track held long positions in this stock, a change of 10% from one quarter earlier. With the smart money’s sentiment swirling, there exists an “upper tier” of key hedge fund managers who were increasing their stakes significantly.
When looking at the hedgies we track, Ken Heebner’s Capital Growth Management had the most valuable position in Camden Property Trust (NYSE:CPT), worth close to $88.6 million, comprising 2.2% of its total 13F portfolio. On Capital Growth Management’s heels is AEW Capital Management, managed by Jeffrey Furber, which held a $80.4 million position; 2% of its 13F portfolio is allocated to the company. Other hedgies with similar optimism include John Overdeck and David Siegel’s Two Sigma Advisors, Cliff Asness’s AQR Capital Management and Dmitry Balyasny’s Balyasny Asset Management.
With a general bullishness amongst the heavyweights, key money managers have jumped into Camden Property Trust (NYSE:CPT) headfirst. Balyasny Asset Management, managed by Dmitry Balyasny, initiated the biggest position in Camden Property Trust (NYSE:CPT). Balyasny Asset Management had 6.7 million invested in the company at the end of the quarter. Matthew Tewksbury’s Stevens Capital Management also made a $6.3 million investment in the stock during the quarter.
How have insiders been trading Camden Property Trust (NYSE:CPT)?
Bullish insider trading is most useful when the company we’re looking at has experienced transactions within the past 180 days. Over the latest 180-day time frame, Camden Property Trust (NYSE:CPT) has experienced zero unique insiders buying, and 14 insider sales (see the details of insider trades here).
Let’s check out hedge fund and insider activity in other stocks similar to Camden Property Trust (NYSE:CPT). These stocks are Two Harbors Investment Corp (NYSE:TWO), American Campus Communities, Inc. (NYSE:ACC), Senior Housing Properties Trust (NYSE:SNH), UDR, Inc. (NYSE:UDR), and Essex Property Trust Inc (NYSE:ESS). All of these stocks are in the reit – residential industry and their market caps match CPT’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Two Harbors Investment Corp (NYSE:TWO) | 24 | 4 | 0 |
| American Campus Communities, Inc. (NYSE:ACC) | 14 | 2 | 1 |
| Senior Housing Properties Trust (NYSE:SNH) | 9 | 0 | 0 |
| UDR, Inc. (NYSE:UDR) | 9 | 0 | 1 |
| Essex Property Trust Inc (NYSE:ESS) | 12 | 0 | 2 |
With the results shown by the aforementioned time-tested strategies, everyday investors should always watch hedge fund and insider trading activity, and Camden Property Trust (NYSE:CPT) is an important part of this process.
