Minerals Technologies Inc (MTX): Hedge Funds Are Bullish and Insiders Are Bearish, What Should You Do?

Minerals Technologies Inc (NYSE:MTX) was in 14 hedge funds’ portfolio at the end of March. MTX investors should be aware of an increase in enthusiasm from smart money recently. There were 13 hedge funds in our database with MTX positions at the end of the previous quarter.

In the financial world, there are a multitude of gauges shareholders can use to watch stocks. A couple of the best are hedge fund and insider trading sentiment. At Insider Monkey, our studies have shown that, historically, those who follow the top picks of the elite hedge fund managers can trounce the broader indices by a significant amount (see just how much).

Equally as important, optimistic insider trading activity is a second way to break down the world of equities. There are lots of reasons for an insider to cut shares of his or her company, but only one, very simple reason why they would buy. Many empirical studies have demonstrated the useful potential of this strategy if piggybackers understand what to do (learn more here).

Consequently, we’re going to take a peek at the key action surrounding Minerals Technologies Inc (NYSE:MTX).

Hedge fund activity in Minerals Technologies Inc (NYSE:MTX)

At the end of the first quarter, a total of 14 of the hedge funds we track were long in this stock, a change of 8% from the previous quarter. With hedge funds’ positions undergoing their usual ebb and flow, there exists a select group of notable hedge fund managers who were increasing their holdings considerably.

Of the funds we track, Royce & Associates, managed by Chuck Royce, holds the most valuable position in Minerals Technologies Inc (NYSE:MTX). Royce & Associates has a $171.2 million position in the stock, comprising 0.5% of its 13F portfolio. The second largest stake is held by Third Avenue Management, managed by Martin Whitman, which held a $28.5 million position; 0.5% of its 13F portfolio is allocated to the stock. Remaining hedgies that hold long positions include Ken Griffin’s Citadel Investment Group, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital and Cliff Asness’s AQR Capital Management.

With a general bullishness amongst the heavyweights, specific money managers have jumped into Minerals Technologies Inc (NYSE:MTX) headfirst. Renaissance Technologies, managed by Jim Simons, assembled the most outsized position in Minerals Technologies Inc (NYSE:MTX). Renaissance Technologies had 4.3 million invested in the company at the end of the quarter. David Costen Haley’s HBK Investments also initiated a $0.8 million position during the quarter.

How are insiders trading Minerals Technologies Inc (NYSE:MTX)?

Insider trading activity, especially when it’s bullish, is most useful when the company in focus has seen transactions within the past 180 days. Over the latest 180-day time period, Minerals Technologies Inc (NYSE:MTX) has experienced zero unique insiders buying, and 3 insider sales (see the details of insider trades here).

With the results exhibited by the aforementioned studies, everyday investors must always pay attention to hedge fund and insider trading sentiment, and Minerals Technologies Inc (NYSE:MTX) is an important part of this process.

Click here to learn why you should track hedge funds