Published on 8 Nov 2021 on Insider Monkey via Yahoo Finance
With the second-quarter round of 13F filings behind us it is time to take a look at the stocks in which some of the best money managers in the world preferred to invest or sell heading into the third quarter of 2021. One of these stocks was The Sherwin-Williams Company (NYSE:SHW).
Is The Sherwin-Williams Company (NYSE:SHW) the right investment to pursue these days? Prominent investors were becoming less confident. The number of long hedge fund bets retreated by 2 recently. The Sherwin-Williams Company (NYSE:SHW) was in 49 hedge funds' portfolios at the end of the second quarter of 2021. The all time high for this statistic is 57. Our calculations also showed that SHW isn't among the 30 most popular stocks among hedge funds (click for Q2 rankings).
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 monthly stock picks returned 185.4% since March 2017 and outperformed the S&P 500 ETFs by more than 79 percentage points (see the details here). That's why we believe hedge fund sentiment is a useful indicator that investors should pay attention to.