Many investors follow insider transactions for hints on where companies or influential investors think a given stock may be headed. However, elected officials have become another group of investors that many watch closely, given the fact that regulation plays such an important role in the fundamentals and outlooks of so many companies. A number of top Marjorie Taylor Greene stocks added to her portfolio are making waves today, with some investors looking to digest what these purchases may mean for these companies moving forward.
Marjorie Taylor Greene is the congresswoman representing the 14th District of Georgia. Most notably, Greene has been a conservative mouthpiece for many in the far-right wing of the Republican Party. Her views on various economic issues are very conservative and, as such, her picks may be surprising to some.
The congresswoman reportedly added shares of ASML (NASDAQ:ASML), CrowdStrike (NASDAQ:CRWD), Costco (NASDAQ:COST), Lululemon (NASDAQ:LULU), Nestle (OTCMKTS:NSRGY) and NextEra Energy (NYSE:NEE) to her portfolio, per a filing made public today. On top of these additions, Greene also added between $100,000 and $250,000 of U.S. Treasury Bills to her portfolio.
Let’s dive into what these moves may mean for these stocks and investors.
Investors Considering Marjorie Taylor Greene Stocks
It’s worth noting that Greene’s stock purchases were vastly overshadowed by her purchases of near-term cash-like Treasury Bills. Any time a given elected representative adds that kind of cash to near-term securities, investors may not necessarily take solace in where the stock market as a whole may be headed.
From Warren Buffett to other influential investors who are currently hoarding cash, this is a move that many across the political aisle are making. It’s unclear whether this could mean a recession is around the corner, or whether dry powder is simply more desirable given where interest rates are right now. But the reality is that, in addition to adding some fast-growing stocks, Greene appears to be taking a more conservative approach to her portfolio construction right now than other lawmakers.
Her picks certainly fall within the more consistent growth stock category — and are picks that many long-term investors may consider to be prudent. However, the stakes taken in these stocks (generally between $1,000 and $15,000 each) aren’t massive, likely amounting to less than what she stocked away in cash for a rainy day.
It’s bound to rain sometime. For now, investors may want to pay attention to how much cash politicians are setting aside and why so many insiders are using such a strategy.
On the date of publication, Chris MacDonald did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
