Is Nomura Holdings, Inc. (ADR) (NYSE:NMR) a good investment?
To the average investor, there are plenty of indicators investors can use to watch their holdings. Some of the best are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the top hedge fund managers can outclass the S&P 500 by a healthy margin (see just how much).
Equally as crucial, optimistic insider trading sentiment is another way to analyze the marketplace. There are plenty of motivations for an executive to get rid of shares of his or her company, but just one, very simple reason why they would buy. Various empirical studies have demonstrated the useful potential of this tactic if piggybackers know what to do (learn more here).
Keeping this in mind, it’s important to discuss the latest info about Nomura Holdings, Inc. (ADR) (NYSE:NMR).
What does the smart money think about Nomura Holdings, Inc. (ADR) (NYSE:NMR)?
At Q2’s end, a total of 12 of the hedge funds we track were bullish in this stock, a change of 50% from the first quarter. With hedgies’ sentiment swirling, there exists an “upper tier” of notable hedge fund managers who were boosting their holdings significantly.
When using filings from the hedgies we track, D E Shaw, managed by D. E. Shaw, holds the biggest position in Nomura Holdings, Inc. (ADR) (NYSE:NMR). D E Shaw has a $6.5 million position in the stock, comprising less than 0.1%% of its 13F portfolio. On D E Shaw’s heels is Dreman Value Management, managed by David Dreman, which held a $4.8 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Some other peers that are bullish include Jim Simons’s Renaissance Technologies, Ken Griffin’s Citadel Investment Group and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.
Consequently, certain money managers were breaking ground themselves. D E Shaw, managed by D. E. Shaw, assembled the most valuable position in Nomura Holdings, Inc. (ADR) (NYSE:NMR). D E Shaw had 6.5 million invested in the company at the end of the quarter. David Dreman’s Dreman Value Management also initiated a $4.8 million position during the quarter. The other funds with brand new NMR positions are Jim Simons’s Renaissance Technologies, Ken Griffin’s Citadel Investment Group, and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.
What do corporate executives and insiders think about Nomura Holdings, Inc. (ADR) (NYSE:NMR)?
Insider buying is most useful when the company we’re looking at has experienced transactions within the past six months. Over the last half-year time frame, Nomura Holdings, Inc. (ADR) (NYSE:NMR) has experienced zero unique insiders buying, 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 Nomura Holdings, Inc. (ADR) (NYSE:NMR). These stocks are LPL Financial Holdings Inc (NASDAQ:LPLA), TD Ameritrade Holding Corp. (NYSE:AMTD), Morgan Stanley (NYSE:MS), CME Group Inc (NASDAQ:CME), and Charles Schwab Corp (NYSE:SCHW). This group of stocks belong to the investment brokerage – national industry and their market caps are similar to NMR’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| LPL Financial Holdings Inc (NASDAQ:LPLA) | 15 | 0 | 0 |
| TD Ameritrade Holding Corp. (NYSE:AMTD) | 19 | 0 | 0 |
| Morgan Stanley (NYSE:MS) | 49 | 0 | 0 |
| CME Group Inc (NASDAQ:CME) | 40 | 0 | 0 |
| Charles Schwab Corp (NYSE:SCHW) | 32 | 0 | 0 |
Using the returns explained by our analyses, average investors should always watch hedge fund and insider trading activity, and Nomura Holdings, Inc. (ADR) (NYSE:NMR) shareholders fit into this picture quite nicely.
Discover how hedge fund piggybacking can benefit you
Recommended Reading:
