Is BHP Billiton Limited (ADR) (BHP) Going to Burn These Hedge Funds?

Is BHP Billiton Limited (ADR) (NYSE:BHP) a buy, sell, or hold? Hedge funds are becoming hopeful. The number of bullish hedge fund positions advanced by 2 in recent months.

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With these “truths” under our belt, let’s take a gander at the key action regarding BHP Billiton Limited (ADR) (NYSE:BHP).

How have hedgies been trading BHP Billiton Limited (ADR) (NYSE:BHP)?

At Q1’s end, a total of 18 of the hedge funds we track were bullish in this stock, a change of 13% from one quarter earlier. With hedgies’ positions undergoing their usual ebb and flow, there exists a few noteworthy hedge fund managers who were increasing their stakes substantially.

According to our comprehensive database, Fisher Asset Management, managed by Ken Fisher, holds the biggest position in BHP Billiton Limited (ADR) (NYSE:BHP). Fisher Asset Management has a $454.7 million position in the stock, comprising 1.2% of its 13F portfolio. Sitting at the No. 2 spot is Scout Capital Management, managed by James Crichton and Adam Weiss, which held a $29.1 million call position; 0.4% of its 13F portfolio is allocated to the stock. Remaining hedgies with similar optimism include John Burbank’s Passport Capital, and David Dreman’s Dreman Value Management.

As one would reasonably expect, key money managers were breaking ground themselves. Scout Capital Management, managed by James Crichton and Adam Weiss, initiated the biggest call position in BHP Billiton Limited (ADR) (NYSE:BHP). Scout Capital Management had 29.1 million invested in the company at the end of the quarter. Bart Baum’s Ionic Capital Management also initiated a $3.7 million position during the quarter. The other funds with new positions in the stock are Ray Dalio’s Bridgewater Associates, Israel Englander’s Millennium Management, and David Costen Haley’s HBK Investments.

How are insiders trading BHP Billiton Limited (ADR) (NYSE:BHP)?

Insider purchases made by high-level executives is best served when the primary stock in question has experienced transactions within the past half-year. Over the last 180-day time period, BHP Billiton Limited (ADR) (NYSE:BHP) has seen 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 BHP Billiton Limited (ADR) (NYSE:BHP). These stocks are Cameco Corporation (USA) (NYSE:CCJ), Teck Resources Ltd (USA) (NYSE:TCK), Rio Tinto plc (ADR) (NYSE:RIO), Vale SA (ADR) (NYSE:VALE), and BHP Billiton plc (ADR) (NYSE:BBL). This group of stocks are the members of the industrial metals & minerals industry and their market caps are closest to BHP’s market cap.

With the results exhibited by our research, retail investors should always keep an eye on hedge fund and insider trading sentiment, and BHP Billiton Limited (ADR) (NYSE:BHP) is an important part of this process.

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