Hedge Funds Are Betting On Tahoe Resources Inc (TAHO)

Tahoe Resources Inc (NYSE:TAHO) has seen an increase in enthusiasm from smart money in recent months.

In today’s marketplace, there are a multitude of metrics investors can use to analyze stocks. A couple of the most innovative are hedge fund and insider trading activity. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the best money managers can beat the broader indices by a superb amount (see just how much).

Equally as beneficial, positive insider trading activity is another way to break down the marketplace. Obviously, there are a number of incentives for a bullish insider to downsize shares of his or her company, but only one, very simple reason why they would initiate a purchase. Various academic studies have demonstrated the market-beating potential of this tactic if investors know where to look (learn more here).

Consequently, it’s important to take a gander at the key action encompassing Tahoe Resources Inc (NYSE:TAHO).

Hedge fund activity in Tahoe Resources Inc (NYSE:TAHO)

In preparation for this quarter, a total of 6 of the hedge funds we track were long in this stock, a change of 20% from one quarter earlier. With hedgies’ capital changing hands, there exists an “upper tier” of noteworthy hedge fund managers who were increasing their holdings meaningfully.

According to our comprehensive database, First Eagle Investment Management, managed by Jean-Marie Eveillard, holds the most valuable position in Tahoe Resources Inc (NYSE:TAHO). First Eagle Investment Management has a $49.2 million position in the stock, comprising 0.2% of its 13F portfolio. Sitting at the No. 2 spot is Sprott Asset Management, managed by Eric Sprott, which held a $7.9 million position; the fund has 1% of its 13F portfolio invested in the stock. Other hedge funds with similar optimism include Chuck Royce’s Royce & Associates, Michael Hintze’s CQS Cayman LP and Gregory Fraser, Rudolph Kluiber, and Timothy Krochuk’s GRT Capital Partners.

As one would reasonably expect, some big names have been driving this bullishness. GRT Capital Partners, managed by Gregory Fraser Rudolph Kluiber and Timothy Krochuk, created the most outsized position in Tahoe Resources Inc (NYSE:TAHO). GRT Capital Partners had 0.2 million invested in the company at the end of the quarter.

What do corporate executives and insiders think about Tahoe Resources Inc (NYSE:TAHO)?

Insider purchases made by high-level executives is best served when the company in question has experienced transactions within the past six months. Over the last 180-day time frame, Tahoe Resources Inc (NYSE:TAHO) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).

Let’s go over hedge fund and insider activity in other stocks similar to Tahoe Resources Inc (NYSE:TAHO). These stocks are Titanium Metals Corp (NYSE:TIE), PVR Partners LP (NYSE:PVR), Alliance Resource Partners, L.P. (NASDAQ:ARLP), Compass Minerals International, Inc. (NYSE:CMP), and Natural Resource Partners LP (NYSE:NRP). This group of stocks are in the industrial metals & minerals industry and their market caps match TAHO’s market cap.