What’s a smart International Bancshares Corp (NASDAQ:IBOC) investor to do?
In the eyes of many of your peers, hedge funds are viewed as bloated, outdated investment tools of a forgotten age. Although there are more than 8,000 hedge funds in operation today, this site looks at the bigwigs of this group, about 525 funds. It is assumed that this group oversees the majority of the smart money’s total assets, and by paying attention to their highest quality investments, we’ve brought to light a few investment strategies that have historically outstripped the S&P 500. Our small-cap hedge fund strategy beat the S&P 500 index by 18 percentage points annually for a decade in our back tests, and since we’ve started sharing our picks with our subscribers at the end of August 2012, we have trumped the S&P 500 index by 33 percentage points in 11 months (find a sample of our picks).
Equally as useful, bullish insider trading sentiment is a second way to analyze the investments you’re interested in. Obviously, there are lots of reasons for an upper level exec to cut shares of his or her company, but only one, very simple reason why they would buy. Plenty of empirical studies have demonstrated the impressive potential of this tactic if shareholders understand where to look (learn more here).
What’s more, let’s study the latest info about International Bancshares Corp (NASDAQ:IBOC).
Hedge fund activity in International Bancshares Corp (NASDAQ:IBOC)
At the end of the second quarter, a total of 6 of the hedge funds we track were bullish in this stock, a change of 20% from the previous quarter. With the smart money’s capital changing hands, there exists a few key hedge fund managers who were upping their holdings meaningfully.
As industrywide interest increased, certain money managers were breaking ground themselves. Polaris Capital Management, managed by Bernard Horn, initiated the most valuable position in International Bancshares Corp (NASDAQ:IBOC). Polaris Capital Management had 56.8 million invested in the company at the end of the quarter. Cliff Asness’s AQR Capital Management also made a $11.2 million investment in the stock during the quarter. The other funds with new positions in the stock are David Dreman’s Dreman Value Management, Ken Gray and Steve Walsh’s Bryn Mawr Capital, and Ken Griffin’s Citadel Investment Group.
How have insiders been trading International Bancshares Corp (NASDAQ:IBOC)?
Insider buying is at its handiest when the company in question has experienced transactions within the past 180 days. Over the latest 180-day time period, International Bancshares Corp (NASDAQ:IBOC) has experienced zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We’ll check out the relationship between both of these indicators in other stocks similar to International Bancshares Corp (NASDAQ:IBOC). These stocks are BancFirst Corporation (NASDAQ:BANF), Prosperity Bancshares, Inc. (NYSE:PB), UMB Financial Corporation (NASDAQ:UMBF), Texas Capital Bancshares Inc (NASDAQ:TCBI), and First Financial Bankshares Inc (NASDAQ:FFIN). This group of stocks belong to the regional – southwest banks industry and their market caps resemble IBOC’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| BancFirst Corporation (NASDAQ:BANF) | 4 | 0 | 0 |
| Prosperity Bancshares, Inc. (NYSE:PB) | 10 | 0 | 0 |
| UMB Financial Corporation (NASDAQ:UMBF) | 5 | 0 | 0 |
| Texas Capital Bancshares Inc (NASDAQ:TCBI) | 19 | 0 | 0 |
| First Financial Bankshares Inc (NASDAQ:FFIN) | 3 | 0 | 0 |
Using the returns shown by Insider Monkey’s research, average investors must always keep one eye on hedge fund and insider trading sentiment, and International Bancshares Corp (NASDAQ:IBOC) is no exception.
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Do Hedge Funds and Insiders Love International Bancshares Corp (IBOC)?
