The latest 13F reporting period has come and gone, and Insider Monkey is again at the forefront when it comes to making use of this gold mine of data. Insider Monkey finished processing 821 13F filings submitted by hedge funds and prominent investors. These filings show these funds' portfolio positions as of March 31st, 2020. In this article we are going to take a look at smart money sentiment towards Compania de Minas Buenaventura S.A.A. (NYSE:BVN).
Compania de Minas Buenaventura S.A.A. (NYSE:BVN) has experienced a decrease in hedge fund interest in recent months. BVN was in 9 hedge funds' portfolios at the end of the first quarter of 2020. There were 13 hedge funds in our database with BVN positions at the end of the previous quarter. Our calculations also showed that BVN isn't among the 30 most popular stocks among hedge funds (click for Q1 rankings and see the video for a quick look at the top 5 stocks). Video: Watch our video about the top 5 most popular hedge fund stocks.
To the average investor there are dozens of signals investors employ to appraise publicly traded companies. Some of the best signals are hedge fund and insider trading indicators. Our experts have shown that, historically, those who follow the top picks of the top fund managers can outclass the S&P 500 by a very impressive amount (see the details here).
[caption id="attachment_844243" align="aligncenter" width="392"] Donald Sussman of Paloma Partners[/caption]
At Insider Monkey we leave no stone unturned when looking for the next great investment idea. For example, We take a look at lists like the 10 most profitable companies in the world to identify the compounders that are likely to deliver double digit returns. We interview hedge fund managers and ask them about their best ideas. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. For example we are checking out stocks recommended/scorned by legendary Bill Miller. Our best call in 2020 was shorting the market when the S&P 500 was trading at 3150 in February after realizing the coronavirus pandemic’s significance before most investors. With all of this in mind let's take a look at the latest hedge fund action surrounding Compania de Minas Buenaventura S.A.A. (NYSE:BVN).
What have hedge funds been doing with Compania de Minas Buenaventura S.A.A. (NYSE:BVN)?
Heading into the second quarter of 2020, a total of 9 of the hedge funds tracked by Insider Monkey were bullish on this stock, a change of -31% from the previous quarter. Below, you can check out the change in hedge fund sentiment towards BVN over the last 18 quarters. So, let's see which hedge funds were among the top holders of the stock and which hedge funds were making big moves.
More specifically, Oldfield Partners was the largest shareholder of Compania de Minas Buenaventura S.A.A. (NYSE:BVN), with a stake worth $43.8 million reported as of the end of September. Trailing Oldfield Partners was Arrowstreet Capital, which amassed a stake valued at $5.5 million. Millennium Management, Sprott Asset Management, and Paloma Partners were also very fond of the stock, becoming one of the largest hedge fund holders of the company. In terms of the portfolio weights assigned to each position Oldfield Partners allocated the biggest weight to Compania de Minas Buenaventura S.A.A. (NYSE:BVN), around 5.55% of its 13F portfolio. Sprott Asset Management is also relatively very bullish on the stock, setting aside 0.23 percent of its 13F equity portfolio to BVN.
Judging by the fact that Compania de Minas Buenaventura S.A.A. (NYSE:BVN) has witnessed falling interest from the smart money, we can see that there lies a certain "tier" of money managers that slashed their entire stakes last quarter. Interestingly, Ken Griffin's Citadel Investment Group said goodbye to the largest position of the "upper crust" of funds tracked by Insider Monkey, comprising an estimated $2.3 million in stock. Cliff Asness's fund, AQR Capital Management, also dumped its stock, about $1 million worth. These moves are interesting, as aggregate hedge fund interest fell by 4 funds last quarter.
Let's now review hedge fund activity in other stocks similar to Compania de Minas Buenaventura S.A.A. (NYSE:BVN). We will take a look at Colliers International Group Inc (NASDAQ:CIGI), Easterly Government Properties Inc (NYSE:DEA), Sensient Technologies Corporation (NYSE:SXT), and Olin Corporation (NYSE:OLN). This group of stocks' market valuations are closest to BVN's market valuation.
[table] Ticker, No of HFs with positions, Total Value of HF Positions (x1000), Change in HF Position CIGI,10,437647,-3 DEA,11,150675,1 SXT,23,83186,3 OLN,33,431603,0 Average,19.25,275778,0.25 [/table]
View table here if you experience formatting issues.
As you can see these stocks had an average of 19.25 hedge funds with bullish positions and the average amount invested in these stocks was $276 million. That figure was $56 million in BVN's case. Olin Corporation (NYSE:OLN) is the most popular stock in this table. On the other hand Colliers International Group Inc (NASDAQ:CIGI) is the least popular one with only 10 bullish hedge fund positions. Compared to these stocks Compania de Minas Buenaventura S.A.A. (NYSE:BVN) is even less popular than CIGI. Our calculations showed that top 10 most popular stocks among hedge funds returned 41.4% in 2019 and outperformed the S&P 500 ETF (SPY) by 10.1 percentage points. These stocks gained 13.4% in 2020 through June 22nd but managed to beat the market by 15.9 percentage points. A small number of hedge funds were also right about betting on BVN, though not to the same extent, as the stock returned 26.1% during the second quarter (through June 22nd) and outperformed the market as well.
Disclosure: None. This article was originally published at Insider Monkey.