Terreno Realty Corporation (NYSE:TRNO) investors should pay attention to an increase in activity from the world’s largest hedge funds of late.
At the moment, there are a multitude of gauges investors can use to monitor their holdings. Some of the most innovative are hedge fund and insider trading movement. At Insider Monkey, our studies have shown that, historically, those who follow the top picks of the top investment managers can outperform the broader indices by a significant amount (see just how much).
Just as beneficial, positive insider trading activity is a second way to break down the financial markets. As the old adage goes: there are a number of motivations for a bullish insider to sell shares of his or her company, but just one, very simple reason why they would behave bullishly. Plenty of empirical studies have demonstrated the market-beating potential of this method if piggybackers know what to do (learn more here).
With these “truths” under our belt, it’s important to take a gander at the latest action encompassing Terreno Realty Corporation (NYSE:TRNO).
What have hedge funds been doing with Terreno Realty Corporation (NYSE:TRNO)?
At year’s end, a total of 5 of the hedge funds we track held long positions in this stock, a change of 25% from the third quarter. With the smart money’s sentiment swirling, there exists a few notable hedge fund managers who were upping their holdings meaningfully.
According to our comprehensive database, Third Avenue Management, managed by Martin Whitman, holds the most valuable position in Terreno Realty Corporation (NYSE:TRNO). Third Avenue Management has a $3.8 million position in the stock, comprising 0.1% of its 13F portfolio. Sitting at the No. 2 spot is J. Alan Reid, Jr. of Forward Management, with a $1.1 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Remaining hedgies with similar optimism include D. E. Shaw’s D E Shaw, John Overdeck and David Siegel’s Two Sigma Advisors and Israel Englander’s Millennium Management.
Consequently, specific money managers were breaking ground themselves. Millennium Management, managed by Israel Englander, assembled the most valuable position in Terreno Realty Corporation (NYSE:TRNO). Millennium Management had 0.2 million invested in the company at the end of the quarter.
How have insiders been trading Terreno Realty Corporation (NYSE:TRNO)?
Insider buying is best served when the company we’re looking at has seen transactions within the past half-year. Over the latest six-month time frame, Terreno Realty Corporation (NYSE:TRNO) has experienced 5 unique insiders purchasing, and zero insider sales (see the details of insider trades here).
Let’s also take a look at hedge fund and insider activity in other stocks similar to Terreno Realty Corporation (NYSE:TRNO). These stocks are First Industrial Realty Trust, Inc. (NYSE:FR), Eastgroup Properties Inc (NYSE:EGP), PMC Commercial Trust (NYSEAMEX:PCC), Stag Industrial Inc (NYSE:STAG), and Monmouth R.E. Inv. Corp. (NYSE:MNR). All of these stocks are in the reit – industrial industry and their market caps are closest to TRNO’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| First Industrial Realty Trust, Inc. (NYSE:FR) | 13 | 1 | 3 |
| Eastgroup Properties Inc (NYSE:EGP) | 2 | 0 | 4 |
| PMC Commercial Trust (NYSEAMEX:PCC) | 0 | 2 | 0 |
| Stag Industrial Inc (NYSE:STAG) | 9 | 8 | 1 |
| Monmouth R.E. Inv. Corp. (NYSE:MNR) | 5 | 3 | 1 |
With the returns shown by the aforementioned time-tested strategies, retail investors must always pay attention to hedge fund and insider trading sentiment, and Terreno Realty Corporation (NYSE:TRNO) is no exception.
