At the moment, there are dozens of methods market participants can use to monitor the equity markets. Two of the most useful are hedge fund and insider trading movement. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the elite fund managers can trounce the market by a healthy margin (see just how much).
Just as crucial, optimistic insider trading sentiment is another way to look at the world of equities. As the old adage goes: there are many motivations for a bullish insider to get rid of shares of his or her company, but just one, very clear reason why they would buy. Many academic studies have demonstrated the market-beating potential of this method if shareholders know what to do (learn more here).
Keeping this in mind, let’s discuss the newest info for Emcor Group Inc (NYSE:EME).
How have hedgies been trading Emcor Group Inc (NYSE:EME)?
At the end of the second quarter, a total of 23 of the hedge funds we track were long in this stock, a change of 15% from the first quarter. With hedge funds’ capital changing hands, there exists a select group of key hedge fund managers who were boosting their stakes substantially.
According to our 13F database, Royce & Associates, managed by Chuck Royce, holds the most valuable position in Emcor Group Inc (NYSE:EME). Royce & Associates has a $132.7 million position in the stock, comprising 0.4% of its 13F portfolio. The second largest stake is held by Phill Gross and Robert Atchinson of Adage Capital Management, with a $61.6 million position; 0.2% of its 13F portfolio is allocated to the company. Some other peers that hold long positions include Martin Whitman’s Third Avenue Management, Cliff Asness’s AQR Capital Management and Steven Cohen’s SAC Capital Advisors.
As industrywide interest increased, certain money managers have jumped into Emcor Group Inc (NYSE:EME) headfirst. Royce & Associates, managed by Chuck Royce, assembled the biggest position in Emcor Group Inc (NYSE:EME). Royce & Associates had 132.7 million invested in the company at the end of the quarter. Phill Gross and Robert Atchinson’s Adage Capital Management also made a $61.6 million investment in the stock during the quarter. The other funds with new positions in the stock are Martin Whitman’s Third Avenue Management, Cliff Asness’s AQR Capital Management, and Steven Cohen’s SAC Capital Advisors.
How are insiders trading Emcor Group Inc (NYSE:EME)?
Insider buying is most useful when the company in question has seen transactions within the past six months. Over the last 180-day time period, Emcor Group Inc (NYSE:EME) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We’ll also take a look at the relationship between both of these indicators in other stocks similar to Emcor Group Inc (NYSE:EME). These stocks are Pike Electric Corporation (NYSE:PIKE), MYR Group Inc (NASDAQ:MYRG), Comfort Systems USA, Inc. (NYSE:FIX), Chicago Bridge & Iron Company N.V. (NYSE:CBI), and Quanta Services Inc (NYSE:PWR). All of these stocks are in the general contractors industry and their market caps are closest to EME’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Pike Electric Corporation (NYSE:PIKE) | 23 | 0 | 0 |
| MYR Group Inc (NASDAQ:MYRG) | 14 | 0 | 0 |
| Comfort Systems USA, Inc. (NYSE:FIX) | 9 | 0 | 0 |
| Chicago Bridge & Iron Company N.V. (NYSE:CBI) | 32 | 0 | 0 |
| Quanta Services Inc (NYSE:PWR) | 33 | 0 | 0 |
Using the returns demonstrated by Insider Monkey’s tactics, average investors should always keep one eye on hedge fund and insider trading sentiment, and Emcor Group Inc (NYSE:EME) is no exception.
