Do Hedge Funds and Insiders Love VeriFone Systems Inc (PAY)?

Page 1 of 2

What should smart VeriFone Systems Inc (NYSE:PAY) investors be doing?

To the average investor, there are dozens of methods investors can use to track the equity markets. A duo of the most innovative are hedge fund and insider trading movement. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the best fund managers can beat their index-focused peers by a very impressive margin (see just how much).

Just as key, positive insider trading activity is another way to analyze the marketplace. As the old adage goes: there are a number of reasons for an executive to downsize shares of his or her company, but just one, very simple reason why they would buy. Various academic studies have demonstrated the valuable potential of this method if shareholders understand where to look (learn more here).

What’s more, let’s discuss the recent info about VeriFone Systems Inc (NYSE:PAY).

What does the smart money think about VeriFone Systems Inc (NYSE:PAY)?

Heading into Q3, a total of 17 of the hedge funds we track held long positions in this stock, a change of -11% from one quarter earlier. With the smart money’s positions undergoing their usual ebb and flow, there exists a select group of key hedge fund managers who were boosting their stakes substantially.

VeriFone Systems Inc (NYSE:PAY)Out of the hedge funds we follow, Rob Citrone’s Discovery Capital Management had the biggest position in VeriFone Systems Inc (NYSE:PAY), worth close to $44.3 million, comprising 0.5% of its total 13F portfolio. The second largest stake is held by Tiger Consumer Management, managed by Patrick McCormack, which held a $38.2 million position; 1.3% of its 13F portfolio is allocated to the stock. Other hedgies that are bullish include Michael Doheny’s Freshford Capital Management, Ken Griffin’s Citadel Investment Group and Peter S. Park’s Park West Asset Management.

Due to the fact VeriFone Systems Inc (NYSE:PAY) has experienced a fall in interest from the smart money’s best and brightest, it’s easy to see that there exists a select few funds that slashed their entire stakes last quarter. It’s worth mentioning that Paul Singer’s Elliott Management cut the largest stake of all the hedgies we watch, totaling an estimated $60.1 million in stock. SAC Subsidiary’s fund, Sigma Capital Management, also sold off its stock, about $15.7 million worth. These transactions are intriguing to say the least, as aggregate hedge fund interest was cut by 2 funds last quarter.

How have insiders been trading VeriFone Systems Inc (NYSE:PAY)?

Insider buying is at its handiest when the company in question has experienced transactions within the past half-year. Over the last half-year time period, VeriFone Systems Inc (NYSE:PAY) has seen 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 VeriFone Systems Inc (NYSE:PAY). These stocks are Knoll Inc (NYSE:KNL), HNI Corp (NYSE:HNI), Herman Miller, Inc. (NASDAQ:MLHR), Pitney Bowes Inc. (NYSE:PBI), and Steelcase Inc. (NYSE:SCS). All of these stocks are in the business equipment industry and their market caps are similar to PAY’s market cap.

Page 1 of 2
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Top 10 Highest Paying Jobs in the World

Most Expensive Day-Care in New York City

The 10 Cheapest Places to Retire Abroad

Top 10 Most Expensive Luxury Cars in the World – 2014

Killer Small Business Ideas

The 50 Best Personal Finance Blogs

Most Expensive Apartments in New York City

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!