Is HEICO Corporation (NYSE:HEI) a good investment?
In today’s marketplace, there are many metrics shareholders can use to analyze their holdings. A couple of the most useful 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 significant amount (see just how much).
Just as necessary, positive insider trading activity is another way to analyze the world of equities. Obviously, there are many stimuli for a corporate insider to cut shares of his or her company, but just one, very clear reason why they would behave bullishly. Plenty of empirical studies have demonstrated the useful potential of this tactic if you understand where to look (learn more here).
Furthermore, we’re going to examine the latest info for HEICO Corporation (NYSE:HEI).
What have hedge funds been doing with HEICO Corporation (NYSE:HEI)?
Heading into Q3, a total of 15 of the hedge funds we track held long positions in this stock, a change of 7% from one quarter earlier.
With a general bullishness amongst the titans, certain money managers have jumped into HEICO Corporation (NYSE:HEI) headfirst. Select Equity Group, managed by Robert Joseph Caruso, assembled the largest position in HEICO Corporation (NYSE:HEI). Select Equity Group had 78 million invested in the company at the end of the quarter. Chuck Royce’s Royce & Associates also made a $77.8 million investment in the stock during the quarter. The other funds with new positions in the stock are Chuck Royce’s Royce & Associates, Brian Bares’s Bares Capital Management, and Bill Miller’s Legg Mason Capital Management.
How have insiders been trading HEICO Corporation (NYSE:HEI)?
Insider buying is at its handiest when the company we’re looking at has experienced transactions within the past half-year. Over the latest half-year time frame, HEICO Corporation (NYSE:HEI) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We’ll also examine the relationship between both of these indicators in other stocks similar to HEICO Corporation (NYSE:HEI). These stocks are Huntington Ingalls Industries Inc (NYSE:HII), Moog Inc (NYSE:MOG-A), CAE, Inc. (USA) (NYSE:CAE), Alliant Techsystems Inc. (NYSE:ATK), and Esterline Technologies Corporation (NYSE:ESL). This group of stocks are in the aerospace/defense products & services industry and their market caps are closest to HEI’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Huntington Ingalls Industries Inc (NYSE:HII) | 18 | 0 | 0 |
| Moog Inc (NYSE:MOG-A) | 7 | 0 | 0 |
| CAE, Inc. (USA) (NYSE:CAE) | 0 | 0 | |
| Alliant Techsystems Inc. (NYSE:ATK) | 20 | 0 | 0 |
| Esterline Technologies Corporation (NYSE:ESL) | 19 | 0 | 0 |
Using the returns explained by the previously mentioned analyses, average investors must always pay attention to hedge fund and insider trading sentiment, and HEICO Corporation (NYSE:HEI) is no exception.
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This Metric Says You Are Smart to Buy HEICO Corporation (HEI)
