Philippine Long Distance Telephone (ADR) (NYSE:PHI) was in 7 hedge funds’ portfolio at the end of the first quarter of 2013. PHI has seen a decrease in enthusiasm from smart money in recent months. There were 8 hedge funds in our database with PHI holdings at the end of the previous quarter.
Just as beneficial, optimistic insider trading activity is a second way to break down the financial markets. There are lots of incentives for an upper level exec to downsize shares of his or her company, but just one, very simple reason why they would buy. Many empirical studies have demonstrated the market-beating potential of this method if shareholders understand what to do (learn more here).
Keeping this in mind, let’s take a look at the latest action regarding Philippine Long Distance Telephone (ADR) (NYSE:PHI).
What have hedge funds been doing with Philippine Long Distance Telephone (ADR) (NYSE:PHI)?
At Q1’s end, a total of 7 of the hedge funds we track were bullish in this stock, a change of -13% from the previous quarter. With hedge funds’ capital changing hands, there exists a select group of noteworthy hedge fund managers who were boosting their stakes substantially.
Of the funds we track, Jim Simons’s Renaissance Technologies had the largest position in Philippine Long Distance Telephone (ADR) (NYSE:PHI), worth close to $136.4 million, accounting for 0.3% of its total 13F portfolio. Coming in second is Jean-Marie Eveillard of First Eagle Investment Management, with a $3.1 million position; less than 0.1%% of its 13F portfolio is allocated to the company. Remaining hedgies that are bullish include D. E. Shaw’s D E Shaw, Jane Mendillo’s Harvard Management Co and Steven Cohen’s SAC Capital Advisors.
Seeing as Philippine Long Distance Telephone (ADR) (NYSE:PHI) has faced declining sentiment from the aggregate hedge fund industry, we can see that there lies a certain “tier” of hedgies that decided to sell off their positions entirely heading into Q2. Interestingly, Israel Englander’s Millennium Management sold off the biggest investment of the 450+ funds we monitor, valued at close to $1.5 million in stock., and Ken Griffin of Citadel Investment Group was right behind this move, as the fund dropped about $1 million worth. These transactions are interesting, as total hedge fund interest was cut by 1 funds heading into Q2.
What do corporate executives and insiders think about Philippine Long Distance Telephone (ADR) (NYSE:PHI)?
Insider trading activity, especially when it’s bullish, is best served when the company in question has experienced transactions within the past six months. Over the latest 180-day time period, Philippine Long Distance Telephone (ADR) (NYSE:PHI) has seen zero unique insiders buying, and zero insider sales (see the details of insider trades here).
Let’s also take a look at hedge fund and insider activity in other stocks similar to Philippine Long Distance Telephone (ADR) (NYSE:PHI). These stocks are BT Group plc (ADR) (NYSE:BT), Verisign, Inc. (NASDAQ:VRSN), KT Corporation (ADR) (NYSE:KT), France Telecom SA (ADR) (NYSE:FTE), and PT Telekomunikasi Indonesia (ADR) (NYSE:TLK). This group of stocks are the members of the telecom services – foreign industry and their market caps are similar to PHI’s market cap.
