Hedge Funds Are Dumping United Natural Foods, Inc. (UNFI) – Nash-Finch Company (NAFC), The Chefs Warehouse, Inc (CHEF)

Page 1 of 2

Is United Natural Foods, Inc. (NASDAQ:UNFI) a buy, sell, or hold? Hedge funds are taking a bearish view. The number of bullish hedge fund bets stayed the same which is a slightly negative development in our experience

United Natural Foods, Inc. (NASDAQ:UNFI)

In the eyes of most traders, hedge funds are seen as worthless, old financial vehicles of years past. While there are greater than 8000 funds with their doors open at present, we look at the top tier of this group, about 450 funds. It is widely believed that this group has its hands on the lion’s share of the smart money’s total asset base, and by paying attention to their top picks, we have found a few investment strategies that have historically outpaced Mr. Market. Our small-cap hedge fund strategy outpaced the S&P 500 index by 18 percentage points annually for a decade in our back tests, and since we’ve started sharing our picks with our subscribers at the end of August 2012, we have trumped the S&P 500 index by 24 percentage points in 7 months (see the details here).

Just as integral, bullish insider trading sentiment is a second way to parse down the investments you’re interested in. Just as you’d expect, there are a number of motivations for a corporate insider to get rid of shares of his or her company, but just one, very obvious reason why they would initiate a purchase. Various empirical studies have demonstrated the impressive potential of this tactic if investors know where to look (learn more here).

Consequently, let’s take a peek at the latest action encompassing United Natural Foods, Inc. (NASDAQ:UNFI).

What have hedge funds been doing with United Natural Foods, Inc. (NASDAQ:UNFI)?

In preparation for this year, a total of 9 of the hedge funds we track were long in this stock, a change of 0% from one quarter earlier. With the smart money’s sentiment swirling, there exists an “upper tier” of notable hedge fund managers who were increasing their holdings significantly.

Of the funds we track, Donald Chiboucis’s Columbus Circle Investors had the most valuable position in United Natural Foods, Inc. (NASDAQ:UNFI), worth close to $30 million, accounting for 0.2% of its total 13F portfolio. On Columbus Circle Investors’s heels is Ken Fisher of Fisher Asset Management, with a $17 million position; 0.2% of its 13F portfolio is allocated to the stock. Some other hedge funds that hold long positions include Chuck Royce’s Royce & Associates, Steven Cohen’s SAC Capital Advisors and Mario Gabelli’s GAMCO Investors.

Due to the fact that United Natural Foods, Inc. (NASDAQ:UNFI) has witnessed falling interest from the aggregate hedge fund industry, logic holds that there is a sect of fund managers who sold off their positions entirely last quarter. Interestingly, Richard Driehaus’s Driehaus Capital dropped the biggest investment of the “upper crust” of funds we track, comprising close to $1 million in stock.. J. Alan Reid, Jr.’s fund, Forward Management, also said goodbye to its stock, about $1 million worth. These bearish behaviors are important to note, as aggregate hedge fund interest stayed the same (this is a bearish signal in our experience).

Insider trading activity in United Natural Foods, Inc. (NASDAQ:UNFI)

Insider buying is best served when the company in question has experienced transactions within the past six months. Over the last six-month time period, United Natural Foods, Inc. (NASDAQ:UNFI) has seen zero unique insiders buying, and 2 insider sales (see the details of insider trades here).

Let’s also examine hedge fund and insider activity in other stocks similar to United Natural Foods, Inc. (NASDAQ:UNFI). These stocks are AMCON Distributing Co. (NYSEAMEX:DIT), Nash-Finch Company (NASDAQ:NAFC), SYSCO Corporation (NYSE:SYY), Spartan Stores, Inc. (NASDAQ:SPTN), and The Chefs Warehouse, Inc (NASDAQ:CHEF). This group of stocks are in the food wholesale industry and their market caps match UNFI’s market cap.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

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!