Fly Leasing Ltd(ADR) (NYSE:FLY) was in 9 hedge funds’ portfolio at the end of March. FLY investors should be aware of an increase in hedge fund sentiment recently. There were 7 hedge funds in our database with FLY holdings at the end of the previous quarter.
In the financial world, there are plenty of metrics shareholders can use to watch their holdings. A duo of the best are hedge fund and insider trading activity. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the elite fund managers can outperform their index-focused peers by a solid margin (see just how much).
Just as beneficial, bullish insider trading activity is another way to break down the marketplace. As the old adage goes: there are plenty of incentives for a corporate insider to drop shares of his or her company, but just one, very simple reason why they would behave bullishly. Plenty of empirical studies have demonstrated the impressive potential of this tactic if you understand what to do (learn more here).
With these “truths” under our belt, we’re going to take a look at the key action surrounding Fly Leasing Ltd(ADR) (NYSE:FLY).
How have hedgies been trading Fly Leasing Ltd(ADR) (NYSE:FLY)?
At Q1’s end, a total of 9 of the hedge funds we track were bullish in this stock, a change of 29% from the previous quarter. With the smart money’s capital changing hands, there exists a few noteworthy hedge fund managers who were increasing their stakes substantially.
According to our comprehensive database, Renaissance Technologies, managed by Jim Simons, holds the most valuable position in Fly Leasing Ltd(ADR) (NYSE:FLY). Renaissance Technologies has a $18.7 million position in the stock, comprising less than 0.1%% of its 13F portfolio. On Renaissance Technologies’s heels is SG Capital Management, managed by Ken Grossman and Glen Schneider, which held a $6.8 million position; the fund has 3.3% of its 13F portfolio invested in the stock. Other hedge funds that hold long positions include John Overdeck and David Siegel’s Two Sigma Advisors, D. E. Shaw’s D E Shaw and Richard L. Haydon’s Yield Capital Partners (Y/Cap Management).
As one would reasonably expect, specific money managers have been driving this bullishness. SG Capital Management, managed by Ken Grossman and Glen Schneider, created the most valuable position in Fly Leasing Ltd(ADR) (NYSE:FLY). SG Capital Management had 6.8 million invested in the company at the end of the quarter. Ken Griffin’s Citadel Investment Group also made a $1.4 million investment in the stock during the quarter.
How are insiders trading Fly Leasing Ltd(ADR) (NYSE:FLY)?
Insider trading activity, especially when it’s bullish, is best served when the company we’re looking at has seen transactions within the past 180 days. Over the latest half-year time period, Fly Leasing Ltd(ADR) (NYSE:FLY) has experienced zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
Let’s also examine hedge fund and insider activity in other stocks similar to Fly Leasing Ltd(ADR) (NYSE:FLY). These stocks are Aircastle Limited (NYSE:AYR), McGrath RentCorp (NASDAQ:MGRC), CAI International Inc (NYSE:CAP), seacube container leasing ltd (NYSE:BOX), and Electro Rent Corporation (NASDAQ:ELRC). This group of stocks are in the rental & leasing services industry and their market caps are similar to FLY’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Aircastle Limited (NYSE:AYR) | 18 | 1 | 2 |
| McGrath RentCorp (NASDAQ:MGRC) | 6 | 0 | 12 |
| CAI International Inc (NYSE:CAP) | 6 | 0 | 2 |
| seacube container leasing ltd (NYSE:BOX) | 11 | 0 | 11 |
| Electro Rent Corporation (NASDAQ:ELRC) | 7 | 0 | 0 |
With the results shown by the aforementioned tactics, retail investors should always watch hedge fund and insider trading activity, and Fly Leasing Ltd(ADR) (NYSE:FLY) applies perfectly to this mantra.
