Grupo Aeroportuario del Pacifico (ADR) (PAC): Are Hedge Funds Right About This Stock?

Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC) was in 7 hedge funds’ portfolio at the end of the first quarter of 2013. PAC investors should be aware of an increase in enthusiasm from smart money in recent months. There were 5 hedge funds in our database with PAC holdings at the end of the previous quarter.

At the moment, there are many indicators investors can use to track stocks. 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 best picks of the elite money managers can trounce the S&P 500 by a very impressive margin (see just how much).

Just as integral, bullish insider trading sentiment is another way to parse down the marketplace. Obviously, there are many reasons for an insider to get rid of shares of his or her company, but only one, very simple reason why they would behave bullishly. Plenty of academic studies have demonstrated the market-beating potential of this strategy if investors understand what to do (learn more here).

With all of this in mind, we’re going to take a look at the latest action regarding Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC).

How have hedgies been trading Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC)?

Heading into Q2, a total of 7 of the hedge funds we track held long positions in this stock, a change of 40% from the previous quarter. With the smart money’s sentiment swirling, there exists an “upper tier” of key hedge fund managers who were increasing their holdings meaningfully.

When looking at the hedgies we track, Renaissance Technologies, managed by Jim Simons, holds the largest position in Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC). Renaissance Technologies has a $8.9 million position in the stock, comprising less than 0.1%% of its 13F portfolio. Coming in second is Arrowstreet Capital, managed by Peter Rathjens, Bruce Clarke and John Campbell, which held a $6.4 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Remaining hedgies that are bullish include Israel Englander’s Millennium Management, Chuck Royce’s Royce & Associates and D. E. Shaw’s D E Shaw.

As industrywide interest jumped, specific money managers were breaking ground themselves. Millennium Management, managed by Israel Englander, assembled the most outsized position in Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC). Millennium Management had 3 million invested in the company at the end of the quarter. David Costen Haley’s HBK Investments also initiated a $0.3 million position during the quarter.

Insider trading activity in Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC)

Bullish insider trading is best served when the company in question has seen transactions within the past 180 days. Over the last six-month time period, Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC) has seen zero 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 Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC). These stocks are Atlas Air Worldwide Holdings, Inc. (NASDAQ:AAWW), Air Methods Corp (NASDAQ:AIRM), Bristow Group Inc (NYSE:BRS), and Grupo Aeroportuario del Sureste (ADR) (NYSE:ASR). All of these stocks are in the air services, other industry and their market caps are similar to PAC’s market cap.

With the returns exhibited by Insider Monkey’s research, retail investors must always pay attention to hedge fund and insider trading activity, and Grupo Aeroportuario del Pacifico (ADR) (NYSE:PAC) is no exception.

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