Here’s Why Traders are Talking about These Five Stocks

The market is mixed on Thursday with Dow Jones and S&P 500 slightly in red, while NASDAQ has inched up since the opening bell as companies continue to turn in their financial reports.

In this way, shares of Bank of New York Mellon Corp (NYSE:BK), Adeptus Health Inc (NYSE:ADPT), Nucor Corporation (NYSE:NUE), Domino’s Pizza, Inc. (NYSE:DPZ), and Quest Diagnostics Inc (NYSE:DGX) are trending today after reporting their financial results for the last quarter. In this earnings-heavy edition of market trenders, let’s take a closer look at each stock and use SEC filings to see how the world’s greatest investors are positioned among them.

While there are many metrics that investors can assess in the investment process, the hedge fund sentiment is something that is often overlooked. However, hedge funds and other institutional investors allocate significant resources while making their bets and their long-term focus makes them the perfect investors to emulate. This is supported by our research, which determined that following the small-cap stocks that hedge funds are collectively bullish on can help a smaller investor to beat the S&P 500 by around 95 basis points per month (see the details here).

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Mellon Results Mixed

Bank of New York Mellon Corp (NYSE:BK) shares are 2.90% in the red today after the bank reported earnings of $0.76 per share on revenue of $3.77 billion. Although Bank of New York Mellon’s earnings results beat profit estimates by $0.01 per share, the bank’s top-line missed the expectations by $20 million. Assets under custody and/or administration increased by 4% on the year to $29.5 trillion, while AUM dropped by 2% to $1.66 trillion. Both fee and other revenue and net interest revenue also slid by 2% year-over-year. Book value per common share rose to $33.72 from $32.28 in the same quarter of the prior year. Billionaire Warren Buffett’s Berkshire Hathaway owned 20.8 million shares of Bank of New York Mellon Corp (NYSE:BK) at the end of March.

Adeptus Misses the Mark

Adeptus Health Inc (NYSE:ADPT) reported lower-than-expected earnings for its second quarter and, not surprisingly, the healthcare company’s shares are down by more than 8% so far today. For the three months ended June 30, Adeptus reported earnings of $0.48 per share, versus estimates of $0.51 per share. Revenue beat estimates by $6.25 million, coming in at $100.17 million. Management sees 2016 adjusted EPS coming in at $2.55 to $2.65 on net revenues of $640 million to $670 million. The number of funds from our database with holdings in Adeptus Health Inc (NYSE:ADPT) went up by three quarter-over-quarter to 25 at the end of March.

On the next page, we examine the earnings results of Nucor Corporation, Domino’s Pizza, and Quest Diagnostics.