The Andersons, Inc. (NASDAQ:ANDE) investors should pay attention to an increase in support from the world’s most elite money managers recently.
In the 21st century investor’s toolkit, there are tons of methods market participants can use to watch stocks. A pair of the best are hedge fund and insider trading activity. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the best money managers can outclass the S&P 500 by a very impressive amount (see just how much).
Just as key, positive insider trading activity is another way to break down the investments you’re interested in. Just as you’d expect, there are a variety of incentives for an executive to downsize shares of his or her company, but only one, very simple reason why they would initiate a purchase. Many empirical studies have demonstrated the impressive potential of this method if piggybackers understand where to look (learn more here).
With these “truths” under our belt, let’s take a peek at the latest action encompassing The Andersons, Inc. (NASDAQ:ANDE).
How are hedge funds trading The Andersons, Inc. (NASDAQ:ANDE)?
Heading into 2013, a total of 7 of the hedge funds we track were bullish in this stock, a change of 40% from the third quarter. With hedgies’ capital changing hands, there exists an “upper tier” of noteworthy hedge fund managers who were increasing their holdings substantially.
According to our comprehensive database, Cliff Asness’s AQR Capital Management had the largest position in The Andersons, Inc. (NASDAQ:ANDE), worth close to $14.8 million, comprising 0.1% of its total 13F portfolio. Coming in second is Millennium Management, managed by Israel Englander, which held a $1.6 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Other hedge funds that hold long positions include Paul Tudor Jones’s Tudor Investment Corp, D. E. Shaw’s D E Shaw and John Burbank’s Passport Capital.
As aggregate interest increased, key money managers have been driving this bullishness. D E Shaw, managed by D. E. Shaw, created the most outsized position in The Andersons, Inc. (NASDAQ:ANDE). D E Shaw had 0.4 million invested in the company at the end of the quarter. John Burbank’s Passport Capital also made a $0.3 million investment in the stock during the quarter. The only other fund with a brand new ANDE position is Ken Gray and Steve Walsh’s Bryn Mawr Capital.
Insider trading activity in The Andersons, Inc. (NASDAQ:ANDE)
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 latest half-year time period, The Andersons, Inc. (NASDAQ:ANDE) has seen zero unique insiders buying, and 5 insider sales (see the details of insider trades here).
Let’s also review hedge fund and insider activity in other stocks similar to The Andersons, Inc. (NASDAQ:ANDE). These stocks are Chiquita Brands International, Inc. (NYSE:CQB), Calavo Growers, Inc. (NASDAQ:CVGW), Cresud S.A.C.I.F. y A. (ADR) (NASDAQ:CRESY), Fresh Del Monte Produce Inc (NYSE:FDP), and Adecoagro SA (NYSE:AGRO). This group of stocks are in the farm products industry and their market caps are similar to ANDE’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Chiquita Brands International, Inc. (NYSE:CQB) | 17 | 1 | 4 |
| Calavo Growers, Inc. (NASDAQ:CVGW) | 5 | 0 | 3 |
| Cresud S.A.C.I.F. y A. (ADR) (NASDAQ:CRESY) | 6 | 0 | 0 |
| Fresh Del Monte Produce Inc (NYSE:FDP) | 7 | 0 | 10 |
| Adecoagro SA (NYSE:AGRO) | 4 | 0 | 0 |
With the results exhibited by Insider Monkey’s studies, everyday investors must always pay attention to hedge fund and insider trading activity, and The Andersons, Inc. (NASDAQ:ANDE) applies perfectly to this mantra.
