World-class money managers like Ken Griffin and Barry Rosenstein only invest their wealthy clients' money after undertaking a rigorous examination of any potential stock. They are particularly successful in this regard when it comes to small-cap stocks, which their peerless research gives them a big information advantage on when it comes to judging their worth. It's not surprising then that they generate their biggest returns from these stocks and invest more of their money in these stocks on average than other investors. It's also not surprising then that we pay close attention to these picks ourselves and have built a market-beating investment strategy around them.

PCSB Financial Corporation (NASDAQ:PCSB) shareholders have witnessed an increase in activity from the world's largest hedge funds lately. Our calculations also showed that pcsb isn't among the 30 most popular stocks among hedge funds.

In the 21st century investor’s toolkit there are several formulas stock traders use to analyze publicly traded companies. A duo of the most under-the-radar formulas are hedge fund and insider trading indicators. Our researchers have shown that, historically, those who follow the top picks of the top hedge fund managers can outpace the S&P 500 by a significant amount (see the details here).

Let's take a look at the fresh hedge fund action encompassing PCSB Financial Corporation (NASDAQ:PCSB).

What does the smart money think about PCSB Financial Corporation (NASDAQ:PCSB)?

At the end of the third quarter, a total of 11 of the hedge funds tracked by Insider Monkey were bullish on this stock, a change of 22% from one quarter earlier. Below, you can check out the change in hedge fund sentiment towards PCSB over the last 13 quarters. With hedge funds' sentiment swirling, there exists a select group of noteworthy hedge fund managers who were increasing their stakes meaningfully (or already accumulated large positions).

According to publicly available hedge fund and institutional investor holdings data compiled by Insider Monkey, Emanuel J. Friedman's EJF Capital has the number one position in PCSB Financial Corporation (NASDAQ:PCSB), worth close to $10.6 million, amounting to 0.8% of its total 13F portfolio. The second most bullish fund manager is Royce & Associates, managed by Chuck Royce, which holds a $5.4 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Some other members of the smart money that hold long positions consist of Paul Magidson, Jonathan Cohen. And Ostrom Enders's Castine Capital Management, Jim Simons's Renaissance Technologies and John D. Gillespie's Prospector Partners.