Is Ternium S.A. (ADR) (NYSE:TX) the right investment to pursue these days? The smart money is reducing their bets on the stock. The number of bullish hedge fund bets stayed the same which is a slightly negative development in our experience
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Now, we’re going to take a look at the key action surrounding Ternium S.A. (ADR) (NYSE:TX).
How are hedge funds trading Ternium S.A. (ADR) (NYSE:TX)?
At year’s end, a total of 10 of the hedge funds we track held long positions in this stock, a change of 0% from the third quarter. With hedge funds’ sentiment swirling, there exists a select group of noteworthy hedge fund managers who were boosting their holdings significantly.
Of the funds we track, D. E. Shaw’s D E Shaw had the biggest position in Ternium S.A. (ADR) (NYSE:TX), worth close to $11 million, accounting for 0% of its total 13F portfolio. Coming in second is Jim Simons of Renaissance Technologies, with a $5 million position; 0% of its 13F portfolio is allocated to the stock. Some other hedge funds with similar optimism include John Overdeck and David Siegel’s Two Sigma Advisors, Christian Leone’s Luxor Capital Group and Mike Vranos’s Ellington.
Seeing as Ternium S.A. (ADR) (NYSE:TX) has faced a declination in interest from hedge fund managers, it’s safe to say that there is a sect of hedge funds that slashed their full holdings at the end of the year. Interestingly, Michael Hintze’s CQS Cayman LP said goodbye to the largest stake of the “upper crust” of funds we key on, worth about $2 million in stock., and Peter Rathjens, Bruce Clarke and John Campbell of Arrowstreet Capital was right behind this move, as the fund dumped about $0 million worth. These transactions are interesting, as total hedge fund interest stayed the same (this is a bearish signal in our experience).
What have insiders been doing with Ternium S.A. (ADR) (NYSE:TX)?
Insider purchases made by high-level executives is most useful when the company in question has seen transactions within the past half-year. Over the last half-year time period, Ternium S.A. (ADR) (NYSE:TX) has seen zero unique insiders buying, and zero insider sales (see the details of insider trades here).
Let’s also examine hedge fund and insider activity in other stocks similar to Ternium S.A. (ADR) (NYSE:TX). These stocks are Grupo Simec S.A.B. de C.V. (ADR) (NYSEAMEX:SIM), Companhia Siderurgica Nacional (ADR) (NYSE:SID), Mechel OAO (ADR) (NYSE:MTL), United States Steel Corporation (NYSE:X), and Steel Dynamics, Inc. (NASDAQ:STLD). This group of stocks belong to the steel & iron industry and their market caps resemble TX’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Grupo Simec S.A.B. de C.V. (ADR) (NYSEAMEX:SIM) | 1 | 0 | 0 |
| Companhia Siderurgica Nacional (ADR) (NYSE:SID) | 11 | 0 | 0 |
| Mechel OAO (ADR) (NYSE:MTL) | 10 | 0 | 0 |
| United States Steel Corporation (NYSE:X) | 18 | 0 | 0 |
| Steel Dynamics, Inc. (NASDAQ:STLD) | 16 | 0 | 2 |
With the results shown by Insider Monkey’s studies, everyday investors should always keep an eye on hedge fund and insider trading activity, and Ternium S.A. (ADR) (NYSE:TX) applies perfectly to this mantra.
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