The financial regulations require hedge funds and wealthy investors that crossed the $100 million equity holdings threshold to file a report that shows their positions at the end of every quarter. Even though it isn't the intention, these filings to a certain extent level the playing field for ordinary investors. The latest round of 13F filings disclosed the funds' positions on June 28th. We at Insider Monkey have made an extensive database of nearly 750 of those established hedge funds and famous value investors' filings. In this article, we analyze how these elite funds and prominent investors traded GasLog Partners LP (NYSE:GLOP) based on those filings.
GasLog Partners LP (NYSE:GLOP) was in 5 hedge funds' portfolios at the end of the second quarter of 2019. GLOP investors should pay attention to an increase in support from the world's most elite money managers of late. There were 4 hedge funds in our database with GLOP holdings at the end of the previous quarter. Our calculations also showed that GLOP isn't among the 30 most popular stocks among hedge funds (see the video below). Video: Click the image to watch our video about the top 5 most popular hedge fund stocks.
In the financial world there are a large number of tools investors have at their disposal to grade stocks. A pair of the most under-the-radar tools are hedge fund and insider trading indicators. We have shown that, historically, those who follow the top picks of the best fund managers can outperform the broader indices by a solid amount. Insider Monkey's flagship best performing hedge funds strategy returned 25.8% year to date (through May 30th) and outperformed the market even though it draws its stock picks among small-cap stocks. This strategy also outperformed the market by 40 percentage points since its inception (see the details here). That's why we believe hedge fund sentiment is a useful indicator that investors should pay attention to.
Unlike former hedge manager, Dr. Steve Sjuggerud, who is convinced Dow will soar past 40000, our long-short investment strategy doesn't rely on bull markets to deliver double digit returns. We only rely on hedge fund buy/sell signals. Let's check out the key hedge fund action regarding GasLog Partners LP (NYSE:GLOP).
Hedge fund activity in GasLog Partners LP (NYSE:GLOP)
At Q2's end, a total of 5 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 25% from the previous quarter. By comparison, 4 hedge funds held shares or bullish call options in GLOP a year ago. With the smart money's positions undergoing their usual ebb and flow, there exists a few notable hedge fund managers who were adding to their stakes substantially (or already accumulated large positions).
Among these funds, Renaissance Technologies held the most valuable stake in GasLog Partners LP (NYSE:GLOP), which was worth $8 million at the end of the second quarter. On the second spot was Royce & Associates which amassed $5.4 million worth of shares. Moreover, Arrowstreet Capital, Citadel Investment Group, and Driehaus Capital were also bullish on GasLog Partners LP (NYSE:GLOP), allocating a large percentage of their portfolios to this stock.
Consequently, key money managers were leading the bulls' herd. Driehaus Capital, managed by Richard Driehaus, initiated the biggest position in GasLog Partners LP (NYSE:GLOP). Driehaus Capital had $0.8 million invested in the company at the end of the quarter.
Let's now review hedge fund activity in other stocks similar to GasLog Partners LP (NYSE:GLOP). We will take a look at PJT Partners Inc (NYSE:PJT), MeiraGTx Holdings plc (NASDAQ:MGTX), Vivint Solar Inc (NYSE:VSLR), and Global Brass and Copper Holdings Inc (NYSE:BRSS). This group of stocks' market valuations are closest to GLOP's market valuation.
[table] Ticker, No of HFs with positions, Total Value of HF Positions (x1000), Change in HF Position PJT,15,142793,-4 MGTX,9,253019,-2 VSLR,11,36996,0 BRSS,17,228771,1 Average,13,165395,-1.25 [/table]
View table here if you experience formatting issues.
As you can see these stocks had an average of 13 hedge funds with bullish positions and the average amount invested in these stocks was $165 million. That figure was $18 million in GLOP's case. Global Brass and Copper Holdings Inc (NYSE:BRSS) is the most popular stock in this table. On the other hand MeiraGTx Holdings plc (NASDAQ:MGTX) is the least popular one with only 9 bullish hedge fund positions. Compared to these stocks GasLog Partners LP (NYSE:GLOP) is even less popular than MGTX. Hedge funds dodged a bullet by taking a bearish stance towards GLOP. Our calculations showed that the top 20 most popular hedge fund stocks returned 24.4% in 2019 through September 30th and outperformed the S&P 500 ETF (SPY) by 4 percentage points. Unfortunately GLOP wasn't nearly as popular as these 20 stocks (hedge fund sentiment was very bearish); GLOP investors were disappointed as the stock returned -8.3% during the third quarter and underperformed the market. If you are interested in investing in large cap stocks with huge upside potential, you should check out the top 20 most popular stocks among hedge funds as many of these stocks already outperformed the market so far in 2019.
Disclosure: None. This article was originally published at Insider Monkey.