What’s a smart Prologis Inc (NYSE:PLD) investor to do?
To the average investor, there are a multitude of indicators investors can use to monitor their holdings. Two of the most innovative are hedge fund and insider trading activity. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the elite fund managers can outclass the S&P 500 by a solid amount (see just how much).
Just as key, positive insider trading activity is another way to look at the world of equities. Obviously, there are many stimuli for a bullish insider to downsize shares of his or her company, but only one, very simple reason why they would behave bullishly. Many empirical studies have demonstrated the valuable potential of this strategy if piggybackers understand what to do (learn more here).
What’s more, it’s important to discuss the latest info surrounding Prologis Inc (NYSE:PLD).
What have hedge funds been doing with Prologis Inc (NYSE:PLD)?
Heading into Q3, a total of 24 of the hedge funds we track were bullish in this stock, a change of 33% from the previous quarter. With the smart money’s sentiment swirling, there exists a select group of key hedge fund managers who were increasing their stakes considerably.
Out of the hedge funds we follow, Jeffrey Furber’s AEW Capital Management had the largest position in Prologis Inc (NYSE:PLD), worth close to $210.6 million, accounting for 5.5% of its total 13F portfolio. Sitting at the No. 2 spot is D E Shaw, managed by D. E. Shaw, which held a $78.3 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Remaining hedge funds with similar optimism include Ken Griffin’s Citadel Investment Group, Phill Gross and Robert Atchinson’s Adage Capital Management and Cliff Asness’s AQR Capital Management.
As aggregate interest spiked, certain bigger names were breaking ground themselves. AEW Capital Management, managed by Jeffrey Furber, initiated the most outsized position in Prologis Inc (NYSE:PLD). AEW Capital Management had 210.6 million invested in the company at the end of the quarter. D. E. Shaw’s D E Shaw also initiated a $78.3 million position during the quarter. The other funds with new positions in the stock are Ken Griffin’s Citadel Investment Group, Phill Gross and Robert Atchinson’s Adage Capital Management, and Cliff Asness’s AQR Capital Management.
What have insiders been doing with Prologis Inc (NYSE:PLD)?
Bullish insider trading is best served when the company we’re looking at has experienced transactions within the past 180 days. Over the latest half-year time period, Prologis Inc (NYSE:PLD) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We’ll check out the relationship between both of these indicators in other stocks similar to Prologis Inc (NYSE:PLD). These stocks are DCT Industrial Trust Inc. (NYSE:DCT), CubeSmart (NYSE:CUBE), Biomed Realty Trust Inc (NYSE:BMR), Extra Space Storage, Inc. (NYSE:EXR), and Duke Realty Corp (NYSE:DRE). This group of stocks belong to the reit – industrial industry and their market caps are closest to PLD’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| DCT Industrial Trust Inc. (NYSE:DCT) | 13 | 0 | 0 |
| CubeSmart (NYSE:CUBE) | 11 | 0 | 0 |
| Biomed Realty Trust Inc (NYSE:BMR) | 15 | 0 | 0 |
| Extra Space Storage, Inc. (NYSE:EXR) | 16 | 0 | 0 |
| Duke Realty Corp (NYSE:DRE) | 11 | 0 | 0 |
Using the results demonstrated by the previously mentioned research, average investors must always track hedge fund and insider trading activity, and Prologis Inc (NYSE:PLD) shareholders fit into this picture quite nicely.
