Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Do Hedge Funds and Insiders Love Infoblox Inc (BLOX)?

Page 1 of 2

Is Infoblox Inc (NYSE:BLOX) a good investment?

In the eyes of many of your fellow readers, hedge funds are seen as overrated, old financial vehicles of a forgotten age. Although there are more than 8,000 hedge funds in operation in present day, this site aim at the elite of this club, around 525 funds. It is widely held that this group controls the majority of the hedge fund industry’s total assets, and by keeping an eye on their highest quality investments, we’ve revealed a few investment strategies that have historically beaten the S&P 500. Our small-cap hedge fund strategy outperformed the S&P 500 index by 18 percentage points annually for a decade in our back tests, and since we‘ve began to sharing our picks with our subscribers at the end of August 2012, we have outperformed the S&P 500 index by 33 percentage points in 11 months (find the details here).

Equally as necessary, optimistic insider trading sentiment is another way to analyze the world of equities. Obviously, there are a variety of reasons for an executive to downsize shares of his or her company, but only one, very obvious reason why they would initiate a purchase. Many academic studies have demonstrated the market-beating potential of this strategy if you understand where to look (learn more here).

Furthermore, we’re going to examine the newest info surrounding Infoblox Inc (NYSE:BLOX).

What have hedge funds been doing with Infoblox Inc (NYSE:BLOX)?

In preparation for the third quarter, a total of 16 of the hedge funds we track were long in this stock, a change of -11% from the first quarter. With hedge funds’ capital changing hands, there exists a few noteworthy hedge fund managers who were boosting their holdings significantly.

Infoblox Inc (NYSE:BLOX)Out of the hedge funds we follow, Invicta Capital Management, managed by Gregory A. Weaver, holds the biggest position in Infoblox Inc (NYSE:BLOX). Invicta Capital Management has a $32.3 million position in the stock, comprising 13.4% of its 13F portfolio. Coming in second is Cupps Capital Management, managed by Drew Cupps, which held a $25 million position; the fund has 2% of its 13F portfolio invested in the stock. Remaining peers that hold long positions include Donald Chiboucis’s Columbus Circle Investors, Brian Ashford-Russell and Tim Woolley’s Polar Capital and Joseph A. Jolson’s Harvest Capital Strategies.

Judging by the fact that Infoblox Inc (NYSE:BLOX) has witnessed bearish sentiment from the smart money’s best and brightest, logic holds that there were a few funds that decided to sell off their full holdings at the end of the second quarter. Intriguingly, Eric Bannasch’s Cadian Capital dumped the biggest position of all the hedgies we key on, totaling about $15.9 million in stock. Spencer M. Waxman’s fund, Shannon River Fund Management, also dropped its stock, about $6 million worth. These transactions are important to note, as aggregate hedge fund interest fell by 2 funds at the end of the second quarter.

What do corporate executives and insiders think about Infoblox Inc (NYSE:BLOX)?

Insider buying made by high-level executives is at its handiest when the primary stock in question has experienced transactions within the past half-year. Over the latest six-month time period, Infoblox Inc (NYSE:BLOX) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).

We’ll also examine the relationship between both of these indicators in other stocks similar to Infoblox Inc (NYSE:BLOX). These stocks are Quad/Graphics, Inc. (NYSE:QUAD), TeleTech Holdings, Inc. (NASDAQ:TTEC), NetSpend Holdings Inc (NASDAQ:NTSP), Moneygram International Inc (NYSE:MGI), and ExlService Holdings, Inc. (NASDAQ:EXLS). This group of stocks are in the business services industry and their market caps are closest to BLOX’s market cap.

Page 1 of 2
Loading Comments...