Are You Trading the Hype?
Wall Street and Main Street Don't Agree on What Stocks are Hot, According to
Abel/Noser's Liquidity Analysis
NEW YORK, Oct. 24, 2013
NEW YORK, Oct. 24, 2013 /PRNewswire/ -- In its quarterly study of liquidity in
the U.S. equity markets, Abel/Noser offers new data that show differences
between activity at the institutional investment firms and the activity of all
investors. The data summarizes trading of all equities in the third quarter.
Stocks are then ranked by their average dollars traded per day. That ranking
is then compared to the ranking of those stocks seen traded in the Abel/Noser
universe ($4 trillion in dollars traded) which is comprised of some of the
largest institutional managers in the world.
According to the analysis, the retail investor community has a heavy appetite
for relatively new issue "high flyers"—stocks that are trading with high
multiples—and subsequent media darlings like Facebook (Nasdaq: FB), Tesla
Motors (Nasdaq: TSLA) and Netflix (Nasdaq: NFLX).
"Apple, for example is the most actively traded stock in the US. It is ranked
at the top in our universe of trades we analyze and also sits at the top of
all trading. It represents more than 4 percent of all US stock trading.
Tesla, on the other hand, ranked 5^th in the US in dollars traded in the third
quarter, but of the institutions we analyze was ranked only 346. Tesla saw
more trading volume than did names like Citigroup, Exxon, JPMorgan Chase, and
GE, but among institutional trading, 345 other stocks traded more," noted Bill
Conlin, President and Chief Executive Officer, Abel/Noser.
Other stocks which showed a particularly large gap between all trading (market
rank) and institutional trading (universe rank):
oGeneral Motors (NYSE: GM), with a market rank of 40 and a universe rank of
oTesla Motors (Nasdaq: TSLA), with a market rank of 5 and a universe rank
oYelp (NYSE: YELP), with a market rank of 164 and a universe rank of 1,187
oBerkshire Hathaway A (NYSE: BRK.A), with a market rank of 524 and a
universe rank of 2009
oAbbott Labs (NYSE:ABT), with a market rank of 104 and a universe rank of
oTime Warner (NYSE:TWX), with a market rank of 100 and a universe rank of
Stocks such as Apple (Nasdaq: AAPL), Microsoft (Nasdaq: MSFT) and Google
(Nasdaq: GOOG) continue to pique the interest of all investors.
Other facts about liquidity:
oThe top 10 most liquid stocks ranked by average dollars traded per day
make up 13% percent of all the dollars traded in more than 12,500 stocks
that traded in the third quarter
oOne quarter of all the dollars that are traded are traded in just 40
oIt takes only the 188 most liquid stocks to trade half of all dollars
oBy stock rank 568, three quarters of all dollars have been traded, which
means 4.5% of companies represent 75% of all activity
The liquidity report does not include ETFs as they tend to dominate individual
stocks in value traded.
Liquidity Report: 07/01/2013 to 09/30/2013
Market Universe Average $ Per Cumulative $ % of Cumulative
Rank Rank Symbol Name Day Per Day Grand % of Total
1 1 AAPL APPLE INC 5,958,821,376 5,958,821,376 4.04 4.04
2 44 FB FACEBOOK 2,673,141,163 8,631,962,539 1.81 5.85
3 4 MSFT MICROSOFT 1,689,702,613 10,321,665,152 1.15 7.00
4 2 GOOG GOOGLE 1,585,925,461 11,907,590,613 1.09 8.09
5 346 TSLA MOTORS 1,489,089,109 13,396,679,723 1.02 9.11
6 26 BAC AMERICA 1,333,677,312 14,730,357,035 0.91 10.02
7 12 C CITIGROUP 1,163,141,504 15,893,498,539 0.79 10.81
8 3 XOM MOBIL 978,786,581 16,872,285,120 0.67 11.48
9 5 JPM CHASE & 971,955,072 17,844,240,192 0.66 12.14
10 14 CSCO SYSTEMS 825,015,317 18,669,255,509 0.56 12.71
Full Liquidity Reporting is available for a small annual subscription price.
Please contact info@AbelNoser.com or visit us at www.abelnoser.com
About Abel/Noser Corp.
Abel/Noser Is one of the oldest and largest independent agency brokerages
providing a range of tools and services for institutional sponsors and
investment managers. Abel/Noseroffers comprehensive solutions and analytics
throughout the pre-trade, execution and post-trade cycle, including
Transaction Cost Analysis (TCA), domestic and international commission
recapture for equities and fixed income, transition management, liquidity
analysis and customized algorithms. Founded in 1975 and headquartered in New
York, Abel/Noser is a member of the NYSE, FINRA and SIPC.
About Abel Noser Solutions
A sister company to Abel/Noser, Abel Noser Solutions was launched in 2007 to
pioneer new trading methods, and to provide broker-neutral pre-trade,
real-time and post-trade tools to institutional investors. Each day the
company collects data from over 500 firms, and records trading data for over
20,000 stocks that trade on over 100 exchanges to provide one of the most
comprehensive views of the industry. Clients receive actionable analysis at
every point in the trade lifecycle, and on average pay commissions that are
44% lower than industry benchmarks.
Sharron Silvers / Taylor McGrann
KCSA Strategic Communications
212-896-1282 / 212-896-1253
email@example.com / firstname.lastname@example.org
SOURCE Abel/Noser Corp.
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