Bank of America Corp (NYSE:BAC) has seen a decrease in enthusiasm from smart money recently. BAC was in 101 hedge funds’ portfolio at the end of September. There were 102 hedge funds in our database with BAC holdings at the end of the previous quarter. However, Bank of America Corp (NYSE:BAC) is still one of the most popular stocks among hedge funds. Kenneth Tropin, billionaire Andreas Halvorsen, and Mike Masters placed brand new bets on the stock during the third quarter.
To the average investor there are a multitude of indicators stock market investors put to use to size up stocks. A duo of the best indicators are hedge fund and insider trading indicators. Experts at hedge fund tracking site Insider Monkey have shown that, historically, those who follow the best picks of the elite investment managers can outperform the S&P 500 by a superb margin (see the details here).
With all of this in mind, we’re going to check out the key action regarding Bank of America Corp (NYSE:BAC).
What does the smart money think about Bank of America Corp (NYSE:BAC)?
At Q3’s end, a total of 101 of the hedge funds tracked by Insider Monkey were long in this stock, a change of -1% from the second quarter. With the smart money’s capital changing hands, there exists a select group of noteworthy hedge fund managers who were increasing their holdings meaningfully.
When looking at the hedgies followed by Insider Monkey, Fairholme, managed by Bruce Berkowitz, holds the most valuable position in Bank of America Corp (NYSE:BAC). Fairholme (FAIRX) has a $1.67 billion position in the stock, comprising 22.9% of its 13F portfolio. On Fairholme’s heels is Fisher Asset Management, led by Ken Fisher, holding a $722.3 million position; the fund has 1.5% of its 13F portfolio invested in the stock. Some other peers that hold long positions consist of Richard S. Pzena’s Pzena Investment Management, Phill Gross and Robert Atchinson’s Adage Capital Management and John Brennan’s Sirios Capital Management.
Since Bank of America Corp (NYSE:BAC) has faced a declination in interest from hedge fund managers, logic holds that there is a sect of hedgies that slashed their entire stakes at the end of the third quarter. Interestingly, Martin Hughes’s Toscafund Asset Management sold off the largest investment of all the hedgies monitored by Insider Monkey, worth about $32.3 million in stock. Matthew Tewksbury’s fund, Stevens Capital Management, also dumped its stock, about $24.2 million worth. These transactions are interesting, as total hedge fund interest fell by 1 funds at the end of the third quarter.