Stocks to invest in
U.S. stocks are trading down on Tuesday, driven by a series of weak earnings reports and anticipation (or is it dread?) surrounding both the results of the FOMC’s meeting that started today and earnings from Apple Inc. (NASDAQ:AAPL) this afternoon. Among the stocks moving on relevant news today are EverBank Financial Corp (NYSE:EVER), Wolverine World Wide, Inc. (NYSE:WWW), Centene Corp (NYSE:CNC), Celgene Corporation (NASDAQ:CELG), and PACCAR Inc (NASDAQ:PCAR). Let’s take a look into the events driving interest in these stocks today and see what the hedge funds in our database think about the companies in question.
At Insider Monkey, we track around 765 hedge funds and other institutional investors. Through extensive backtests, we have determined that imitating some of the stocks that these investors are collectively bullish on can help retail investors generate double digits of alpha per year (see more details about our small-cap strategy).
EverBank Surges on Buyout Talks
Let’s start with EverBank Financial Corp (NYSE:EVER), which has gained more than 4.75% since the market opened this morning even though it missed both top- and bottom-line expectations with its second quarter results. Before the bell rang, the company reported EPS of $0.32 on revenue of $196.61 million, falling short of the Street’s consensus estimates by $0.04 and $39.54 million, respectively. However, management said it was in advanced talks with an undisclosed bidder to sell the company for $19.50 per share in cash, or a total of $2.5 billion.
As of the end of the first quarter, 11 funds among those we track held long positions in EverBank Financial Corp (NYSE:EVER), owning more than 10% of its total shares outstanding. The largest position was that of Edward Gilhuly and Scott Stuart’s Sageview Capital, which declared ownership of 10.31 million shares as of March 31.
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Wolverine World Wide Beats Q2 Expectations
Next up is Wolverine World Wide, Inc. (NYSE:WWW), which is up by more than 7.5% in the early afternoon, driven by a top- and bottom-line beat reported before the morning bell rang. Second quarter EPS of $0.25 and revenue of $583.7 million came in $0.02 and $4.8 million above expectations respectively. In addition, management reiterated its full year guidance for revenue in the $2.475 billion-to-$2.575 billion range, diluted EPS of $1.16-to-$1.26, and adjusted EPS of $1.30-to-$1.40.
17 funds in our database were long Wolverine World Wide, Inc. (NYSE:WWW) at the end of March. Among them was Robert Joseph Caruso’s Select Equity Group, which almost doubled its holding during the first quarter, to 2.84 million shares.
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Head to the next page to check out the latest news concerning the other three stocks.
– Stocks to invest in