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Hedge Fund Darlings vs. MGIC Investment Corporation (MTG) In 2019 – Yahoo Finance

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<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Many investors, including Paul Tudor Jones or Stan Druckenmiller, have been saying before last year’s Q4 market crash that the stock market is overvalued due to a low interest rate environment that leads to companies swapping their equity for debt and focusing mostly on short-term performance such as beating the quarterly earnings estimates. In the first half of 2019, most investors recovered all of their Q4 losses as sentiment shifted and optimism dominated the US China trade negotiations. Nevertheless, many of the stocks that delivered strong returns in the first half still sport strong fundamentals and their gains were more related to the general market sentiment rather than their individual performance and hedge funds kept their bullish stance. In this article we will find out how hedge fund sentiment to MGIC Investment Corporation (NYSE:MTG) changed recently.” data-reactid=”11″>Many investors, including Paul Tudor Jones or Stan Druckenmiller, have been saying before last year’s Q4 market crash that the stock market is overvalued due to a low interest rate environment that leads to companies swapping their equity for debt and focusing mostly on short-term performance such as beating the quarterly earnings estimates. In the first half of 2019, most investors recovered all of their Q4 losses as sentiment shifted and optimism dominated the US China trade negotiations. Nevertheless, many of the stocks that delivered strong returns in the first half still sport strong fundamentals and their gains were more related to the general market sentiment rather than their individual performance and hedge funds kept their bullish stance. In this article we will find out how hedge fund sentiment to MGIC Investment Corporation (NYSE:MTG) changed recently.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Is MGIC Investment Corporation (NYSE:MTG) an outstanding investment today? The smart money is turning bullish. The number of bullish hedge fund positions rose by 4 recently. Our calculations also showed that MTG isn’t among the 30 most popular stocks among hedge funds (click for Q3 rankings and see the video at the end of this article for Q2 rankings). MTG was in 39 hedge funds’ portfolios at the end of the third quarter of 2019. There were 35 hedge funds in our database with MTG positions at the end of the previous quarter.” data-reactid=”12″>Is MGIC Investment Corporation (NYSE:MTG) an outstanding investment today? The smart money is turning bullish. The number of bullish hedge fund positions rose by 4 recently. Our calculations also showed that MTG isn’t among the 30 most popular stocks among hedge funds (click for Q3 rankings and see the video at the end of this article for Q2 rankings). MTG was in 39 hedge funds’ portfolios at the end of the third quarter of 2019. There were 35 hedge funds in our database with MTG positions at the end of the previous quarter.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="To most shareholders, hedge funds are perceived as unimportant, old investment vehicles of years past. While there are more than 8000 funds trading at present, Our experts choose to focus on the masters of this club, around 750 funds. These money managers oversee bulk of the hedge fund industry's total asset base, and by tracking their finest equity investments, Insider Monkey has come up with several investment strategies that have historically outrun the S&amp;P 500 index. Insider Monkey's flagship short hedge fund strategy outpaced the S&amp;P 500 short ETFs by around 20 percentage points per annum since its inception in May 2014. Our portfolio of short stocks lost 27.8% since February 2017 (through November 21st) even though&nbsp;the market was up more than 39% during the same period. We just shared a list of 7 short targets&nbsp;in our latest quarterly update .” data-reactid=”13″>To most shareholders, hedge funds are perceived as unimportant, old investment vehicles of years past. While there are more than 8000 funds trading at present, Our experts choose to focus on the masters of this club, around 750 funds. These money managers oversee bulk of the hedge fund industry’s total asset base, and by tracking their finest equity investments, Insider Monkey has come up with several investment strategies that have historically outrun the S&P 500 index. Insider Monkey’s flagship short hedge fund strategy outpaced the S&P 500 short ETFs by around 20 percentage points per annum since its inception in May 2014. Our portfolio of short stocks lost 27.8% since February 2017 (through November 21st) even though the market was up more than 39% during the same period. We just shared a list of 7 short targets in our latest quarterly update .

Steven Cohen of Point72 Asset Management

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="We leave no stone unturned when looking for the next great investment idea. For example Discover is offering this insane cashback card, so we look into shorting the stock. One of the most bullish analysts in America just put his money where his mouth is. He says, "I’m investing more today than I did back in early 2009." So we check out his pitch. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. We even check out this option genius’ weekly trade ideas. This December, we recommended Adams Energy as a one-way bet based on an under-the-radar fund manager’s investor letter and the stock already gained 20 percent. With all of this in mind we’re going to go over the new hedge fund action surrounding MGIC Investment Corporation (NYSE:MTG).” data-reactid=”31″>We leave no stone unturned when looking for the next great investment idea. For example Discover is offering this insane cashback card, so we look into shorting the stock. One of the most bullish analysts in America just put his money where his mouth is. He says, “I’m investing more today than I did back in early 2009.” So we check out his pitch. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. We even check out this option genius’ weekly trade ideas. This December, we recommended Adams Energy as a one-way bet based on an under-the-radar fund manager’s investor letter and the stock already gained 20 percent. With all of this in mind we’re going to go over the new hedge fund action surrounding MGIC Investment Corporation (NYSE:MTG).

Hedge fund activity in MGIC Investment Corporation (NYSE:MTG)

At Q3’s end, a total of 39 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 11% from the previous quarter. By comparison, 30 hedge funds held shares or bullish call options in MTG a year ago. With hedgies’ capital changing hands, there exists a few noteworthy hedge fund managers who were upping their stakes significantly (or already accumulated large positions).

Is MTG A Good Stock To Buy?

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="According to publicly available hedge fund and institutional investor holdings data compiled by Insider Monkey, Steve Cohen's Point72 Asset Management has the biggest position in MGIC Investment Corporation (NYSE:MTG), worth close to $100.9 million, corresponding to 0.6% of its total 13F portfolio. The second largest stake is held by AQR Capital Management, managed by Cliff Asness, which holds a $84.8 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Other hedge funds and institutional investors that hold long positions consist of Renaissance Technologies, Noam Gottesman’s GLG Partners and Israel Englander’s Millennium Management. In terms of the portfolio weights assigned to each position Almitas Capital allocated the biggest weight to MGIC Investment Corporation (NYSE:MTG), around 2.04% of its 13F portfolio. Factorial Partners is also relatively very bullish on the stock, dishing out 1.75 percent of its 13F equity portfolio to MTG.” data-reactid=”58″>According to publicly available hedge fund and institutional investor holdings data compiled by Insider Monkey, Steve Cohen’s Point72 Asset Management has the biggest position in MGIC Investment Corporation (NYSE:MTG), worth close to $100.9 million, corresponding to 0.6% of its total 13F portfolio. The second largest stake is held by AQR Capital Management, managed by Cliff Asness, which holds a $84.8 million position; the fund has 0.1% of its 13F portfolio invested in the stock. Other hedge funds and institutional investors that hold long positions consist of Renaissance Technologies, Noam Gottesman’s GLG Partners and Israel Englander’s Millennium Management. In terms of the portfolio weights assigned to each position Almitas Capital allocated the biggest weight to MGIC Investment Corporation (NYSE:MTG), around 2.04% of its 13F portfolio. Factorial Partners is also relatively very bullish on the stock, dishing out 1.75 percent of its 13F equity portfolio to MTG.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="With a general bullishness amongst the heavyweights, specific money managers have jumped into MGIC Investment Corporation (NYSE:MTG) headfirst. Marshall Wace, managed by Paul Marshall and Ian Wace, assembled the biggest position in MGIC Investment Corporation (NYSE:MTG). Marshall Wace had $20.2 million invested in the company at the end of the quarter. Gregg Moskowitz’s Interval Partners also initiated a $6.2 million position during the quarter. The following funds were also among the new MTG investors: Carl Goldsmith and Scott Klein’s Beach Point Capital Management, John Overdeck and David Siegel’s Two Sigma Advisors, and David Andre and Astro Teller’s Cerebellum Capital.” data-reactid=”59″>With a general bullishness amongst the heavyweights, specific money managers have jumped into MGIC Investment Corporation (NYSE:MTG) headfirst. Marshall Wace, managed by Paul Marshall and Ian Wace, assembled the biggest position in MGIC Investment Corporation (NYSE:MTG). Marshall Wace had $20.2 million invested in the company at the end of the quarter. Gregg Moskowitz’s Interval Partners also initiated a $6.2 million position during the quarter. The following funds were also among the new MTG investors: Carl Goldsmith and Scott Klein’s Beach Point Capital Management, John Overdeck and David Siegel’s Two Sigma Advisors, and David Andre and Astro Teller’s Cerebellum Capital.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Let's also examine hedge fund activity in other stocks similar to MGIC Investment Corporation (NYSE:MTG). We will take a look at Blackbaud, Inc. (NASDAQ:BLKB), J2 Global Inc (NASDAQ:JCOM), Spire Inc. (NYSE:SR), and CVR Energy, Inc. (NYSE:CVI). This group of stocks’ market values are similar to MTG’s market value.” data-reactid=”60″>Let’s also examine hedge fund activity in other stocks similar to MGIC Investment Corporation (NYSE:MTG). We will take a look at Blackbaud, Inc. (NASDAQ:BLKB), J2 Global Inc (NASDAQ:JCOM), Spire Inc. (NYSE:SR), and CVR Energy, Inc. (NYSE:CVI). This group of stocks’ market values are similar to MTG’s market value.

[table] Ticker, No of HFs with positions, Total Value of HF Positions (x1000), Change in HF Position BLKB,12,72983,2 JCOM,18,280780,-6 SR,13,80974,1 CVI,26,3273232,7 Average,17.25,926992,1 [/table]

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="View table here&nbsp;if you experience formatting issues.” data-reactid=”62″>View table here if you experience formatting issues.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="As you can see these stocks had an average of 17.25 hedge funds with bullish positions and the average amount invested in these stocks was $927 million. That figure was $566 million in MTG's case. CVR Energy, Inc. (NYSE:CVI) is the most popular stock in this table. On the other hand Blackbaud, Inc. (NASDAQ:BLKB) is the least popular one with only 12 bullish hedge fund positions. Compared to these stocks MGIC Investment Corporation (NYSE:MTG) is more popular among hedge funds. Our calculations showed that top 20 most popular stocks among hedge funds returned 41.1% in 2019 through December 23rd and outperformed the S&amp;P 500 ETF (SPY) by 10.1 percentage points. Hedge funds were also right about betting on MTG, though not to the same extent, as the stock returned 37.4% during the same period and outperformed the market as well. Video: Click the image to watch our video about the top 5 most popular hedge fund stocks.” data-reactid=”63″>As you can see these stocks had an average of 17.25 hedge funds with bullish positions and the average amount invested in these stocks was $927 million. That figure was $566 million in MTG’s case. CVR Energy, Inc. (NYSE:CVI) is the most popular stock in this table. On the other hand Blackbaud, Inc. (NASDAQ:BLKB) is the least popular one with only 12 bullish hedge fund positions. Compared to these stocks MGIC Investment Corporation (NYSE:MTG) is more popular among hedge funds. Our calculations showed that top 20 most popular stocks among hedge funds returned 41.1% in 2019 through December 23rd and outperformed the S&P 500 ETF (SPY) by 10.1 percentage points. Hedge funds were also right about betting on MTG, though not to the same extent, as the stock returned 37.4% during the same period and outperformed the market as well. Video: Click the image to watch our video about the top 5 most popular hedge fund stocks.

5 Most Popular Stocks Among Hedge Funds

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Disclosure: None. This article was originally published at Insider Monkey.” data-reactid=”76″>Disclosure: None. This article was originally published at Insider Monkey.

<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Related Content” data-reactid=”77″>Related Content

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Investment in social housing demanded for victims of domestic violence – Montreal Gazette

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Alliance MH2 says the province is currently dealing with a dangerous shortage of resources in its second-stage housing — where women and children go once they leave emergency shelters, but before they find permanent housing.

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In the face of an increase in domestic violence during the COVID-19 pandemic, a coalition of community organizations is calling for investment in social housing in the next provincial budget.

The Front d’action populaire en réaménagement urbain (FRAPRU), a social housing group, and the Alliance des maisons de 2ième étape pour femmes et enfants victimes de violence conjugale (Alliance MH2) said at a press conference Sunday that social housing is “essential” for women victims of domestic violence.

Alliance MH2 said the province is currently dealing with a dangerous shortage of resources in its second-stage housing — where women and children go once they leave emergency shelters, but before they find permanent housing.

The coalition is also calling for the opening of 106 units in second-stage housing — units for which approval is being awaited. The Alliance MH2 said it has been waiting for these new units for the past year and a half — a delay it calls  “ridiculous.”

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According to the coalition, only 66 per cent of women who leave second-stage housing were able to find affordable housing. FRAPRU is demanding the construction of 50,000 social housing units in the next five years.

From 2019 to 2020 alone, 75 per cent of requests for accommodation in second-stage housing in Alliance MH2 shelters in Montreal were refused and 37 per cent in other regions, the coalition said; some regions are not served at all.

It has been nearly three years since the provincial government tabled a strategic plan to combat domestic violence and develop a network of shelters, said Gaëlle Fedida, political coordinator of Alliance MH2. “It is time to act.”

Céline Magontier, who is in charge of women’s issues at FRAPRU, said “needs continue to grow with the shortage of social housing, the pandemic, the insecurity of Quebec society and, even more so, Quebec women.

“Social housing  is being put into place in dribs and drabs,” she said. “It is unacceptable and (the government) must face up to its responsibilities.”

  1. None

    Free legal help line launched for those affected by domestic violence

  2. Togo-born director Gentille M. Assih’s poignant National film Board of Canada documentary is a liberating story of hope and affirmation in the face of abuse.

    Bill Brownstein: NFB doc shines light on domestic abuse in Quebec

  3. Roanna Kitchen cowers during a 2015 performance marking the National Day of Remembrance and Action on Violence Against Women in Belleville, Ont.

    Quebec women’s shelters call on men to help end domestic violence

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TFSA Investors: North America’s Best Growth Investment – The Motley Fool Canada

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Exchange Income (TSX:EIF) is a diversified, acquisition-oriented corporation focused on opportunities in aerospace, aviation services, equipment, and manufacturing. The business plan of the company is to invest in profitable, well-established companies with strong cash flows operating in specialized markets.

Attractive valuation

The company has a price-to-earnings ratio of 13.62, price-to-book ratio of 2.08, dividend yield of 5.53%, and market capitalization of $1.43 billion. Debt is very sparingly used, as evidenced by a debt-to-equity ratio of just 1.77. The company has excellent performance metrics with an operating margin of 8.84% and a return on equity of 3.96%.

Effective strategy

The objectives of the company are to provide shareholders with stable and growing dividends and to maximize intrinsic value through on-going active monitoring of the company’s operating subsidiaries. Management continuously monitors and provides support to the subsidiaries that operate autonomously.

Strong aerospace division

The company’s aerospace and aviation division includes a variety of operations within the aerospace and aviation industries. It includes providing scheduled airline, charter service and emergency medical services to communities located in Manitoba, Ontario, and Nunavut. Regional One is focused on supplying regional airline operators around the world with various aftermarket aircraft, engines, and component parts.

Provincial Aerospace provides scheduled airline, charter service and emergency medical services. The division also designs, modifies, maintains and operates custom sensor equipped aircrafts. Provincial Aerospace also provides maritime surveillance and support operations and also offers a full range of pilot flight training services, from private pilot licensing to commercial pilot programs.

Essential manufacturing services

The company’s manufacturing division provides a variety of manufactured goods and related services in several industries and geographic markets throughout North America. Quest Windows is a manufacturer of an advanced unitized window wall system used primarily in high-rise multi-family residential projects in North America. WesTower is focused on the engineering, design, manufacturing, and construction of communication infrastructure and provision of technical services. Ben Machine is a manufacturer of precision parts and components primarily used in the aerospace and defence sector.

LV Control is an electrical and control systems integrator focused on the agricultural material handling segment. WBM manufactures specialized heavy-duty pressure washing and steam systems, commercial water recycling systems, and custom tanks for the transportation of various products, primarily oil, gasoline, and water. Overlanders manufactures precision sheet metal and tubular products.

Sustainable growth

The company is a diversified, acquisition-oriented corporation focused on opportunities in aerospace, aviation services and equipment, and manufacturing. Exchange Income retains the key management personnel following acquisitions and have them own an equity interest in the company. Management invests in profitable, family-owned businesses with strong cash flows that operate in specialized markets.

In addition to having a strong acquisition strategy, the company has oversight and focuses on the generation of organic growth. Organic growth opportunities come in the form of expanding operations for existing businesses or by investing capital into new equipment and facilities for new customers. The company assesses organic growth opportunities with similar criteria as it does for acquisitions to achieve accretive returns on the capital required.

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Fool contributor Nikhil Kumar has no position in any of the stocks mentioned.

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What Is The Ownership Structure Like For Boardwalk Real Estate Investment Trust (TSE:BEI.UN)? – Simply Wall St

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The big shareholder groups in Boardwalk Real Estate Investment Trust (TSE:BEI.UN) have power over the company. Institutions often own shares in more established companies, while it’s not unusual to see insiders own a fair bit of smaller companies. Companies that used to be publicly owned tend to have lower insider ownership.

Boardwalk Real Estate Investment Trust has a market capitalization of CA$1.9b, so we would expect some institutional investors to have noticed the stock. In the chart below, we can see that institutional investors have bought into the company. Let’s take a closer look to see what the different types of shareholders can tell us about Boardwalk Real Estate Investment Trust.

See our latest analysis for Boardwalk Real Estate Investment Trust

ownership-breakdown

TSX:BEI.UN Ownership Breakdown February 28th 2021

What Does The Institutional Ownership Tell Us About Boardwalk Real Estate Investment Trust?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it’s included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

We can see that Boardwalk Real Estate Investment Trust does have institutional investors; and they hold a good portion of the company’s stock. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It’s therefore worth looking at Boardwalk Real Estate Investment Trust’s earnings history below. Of course, the future is what really matters.

earnings-and-revenue-growth

TSX:BEI.UN Earnings and Revenue Growth February 28th 2021

Boardwalk Real Estate Investment Trust is not owned by hedge funds. The company’s largest shareholder is Boardwalk Properties Company Limited, with ownership of 19%. Cohen & Steers Capital Management, Inc. is the second largest shareholder owning 9.2% of common stock, and CIBC Asset Management Inc. holds about 4.5% of the company stock.

We also observed that the top 10 shareholders account for more than half of the share register, with a few smaller shareholders to balance the interests of the larger ones to a certain extent.

Researching institutional ownership is a good way to gauge and filter a stock’s expected performance. The same can be achieved by studying analyst sentiments. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.

Insider Ownership Of Boardwalk Real Estate Investment Trust

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

Our most recent data indicates that insiders own less than 1% of Boardwalk Real Estate Investment Trust. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. Keep in mind that it’s a big company, and the insiders own CA$4.4m worth of shares. The absolute value might be more important than the proportional share. It is always good to see at least some insider ownership, but it might be worth checking if those insiders have been selling.

General Public Ownership

With a 35% ownership, the general public have some degree of sway over Boardwalk Real Estate Investment Trust. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.

Private Company Ownership

It seems that Private Companies own 19%, of the Boardwalk Real Estate Investment Trust stock. It’s hard to draw any conclusions from this fact alone, so its worth looking into who owns those private companies. Sometimes insiders or other related parties have an interest in shares in a public company through a separate private company.

Next Steps:

While it is well worth considering the different groups that own a company, there are other factors that are even more important. To that end, you should learn about the 3 warning signs we’ve spotted with Boardwalk Real Estate Investment Trust (including 2 which are potentially serious) .

If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.

NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.

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This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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