To the average investor, there are dozens of methods shareholders can use to watch publicly traded companies. Some of the most underrated are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the top investment managers can outpace their index-focused peers by a significant amount (see just how much).
Equally as crucial, bullish insider trading activity is another way to look at the stock market universe. Just as you’d expect, there are lots of reasons for an insider to cut shares of his or her company, but just one, very simple reason why they would buy. Several academic studies have demonstrated the valuable potential of this method if you know what to do (learn more here).
Now that that’s out of the way, we’re going to discuss the recent info about Thomson Reuters Corporation (USA) (NYSE:TRI).
How are hedge funds trading Thomson Reuters Corporation (USA) (NYSE:TRI)?
At Q2’s end, a total of 8 of the hedge funds we track were bullish in this stock, a change of 0% from the first quarter. With hedgies’ positions undergoing their usual ebb and flow, there exists a few notable hedge fund managers who were increasing their holdings significantly.
When using filings from the hedgies we track, Tetrem Capital Management, managed by Daniel Bubis, holds the most valuable position in Thomson Reuters Corporation (USA) (NYSE:TRI). Tetrem Capital Management has a $103.5 million position in the stock, comprising 3.5% of its 13F portfolio. Sitting at the No. 2 spot is Israel Englander of Millennium Management, with a $7.6 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Remaining hedge funds with similar optimism include Jim Simons’s Renaissance Technologies, Matthew Tewksbury’s Stevens Capital Management and Steven Cohen’s SAC Capital Advisors.
As Thomson Reuters Corporation (USA) (NYSE:TRI) has witnessed a fall in interest from upper-tier hedge fund managers, we can see that there were a few fund managers that elected to cut their positions entirely in Q1. Interestingly, Daniel S. Och’s OZ Management said goodbye to the largest position of all the hedgies we track, valued at close to $16.2 million in stock. David Dreman’s fund, Dreman Value Management, also dumped its stock, about $2.6 million worth. These transactions are intriguing to say the least, as total hedge fund interest stayed the same (this is a bearish signal in our experience).
Insider trading activity in Thomson Reuters Corporation (USA) (NYSE:TRI)
Insider buying made by high-level executives is best served when the primary stock in question has experienced transactions within the past six months. Over the latest half-year time frame, Thomson Reuters Corporation (USA) (NYSE:TRI) has seen zero unique insiders buying, 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 Thomson Reuters Corporation (USA) (NYSE:TRI). These stocks are Morningstar, Inc. (NASDAQ:MORN), Dun & Bradstreet Corp (NYSE:DNB), FactSet Research Systems Inc. (NYSE:FDS), IHS Inc. (NYSE:IHS), and Nielsen Hldg NV (NYSE:NLSN). This group of stocks are in the information & delivery services industry and their market caps are similar to TRI’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Morningstar, Inc. (NASDAQ:MORN) | 5 | 0 | 0 |
| Dun & Bradstreet Corp (NYSE:DNB) | 16 | 0 | 0 |
| FactSet Research Systems Inc. (NYSE:FDS) | 17 | 0 | 0 |
| IHS Inc. (NYSE:IHS) | 12 | 0 | 0 |
| Nielsen Hldg NV (NYSE:NLSN) | 25 | 0 | 0 |
Using the returns shown by Insider Monkey’s analyses, average investors must always keep one eye on hedge fund and insider trading sentiment, and Thomson Reuters Corporation (USA) (NYSE:TRI) is no exception.
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