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.

Hedge Funds Aren’t Crazy About Sourcefire, Inc. (FIRE) Anymore

Page 1 of 2

Is it smart to be bullish on Sourcefire, Inc. (NASDAQ:FIRE)?

To many of your fellow readers, hedge funds are seen as delayed, outdated investment tools of a period lost to current times. Although there are over 8,000 hedge funds in operation currently, this site looks at the leaders of this club, around 525 funds. It is widely held that this group oversees the lion’s share of the smart money’s total capital, and by paying attention to their highest quality stock picks, we’ve figured out a number of investment strategies that have historically beaten the S&P 500. Our small-cap hedge fund strategy outpaced the S&P 500 index by 18 percentage points per annum 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 beaten the S&P 500 index by 33 percentage points in 11 months (find the details here).

Just as key, positive insider trading sentiment is another way to look at the world of equities. Obviously, there are a variety of motivations for a corporate insider to cut shares of his or her company, but only one, very clear reason why they would behave bullishly. Plenty of academic studies have demonstrated the valuable potential of this method if shareholders know what to do (learn more here).

What’s more, it’s important to analyze the newest info for Sourcefire, Inc. (NASDAQ:FIRE).

How have hedgies been trading Sourcefire, Inc. (NASDAQ:FIRE)?

At the end of the second quarter, a total of 13 of the hedge funds we track held long positions in this stock, a change of -35% from the first quarter. With hedge funds’ capital changing hands, there exists a few key hedge fund managers who were upping their holdings meaningfully.

Sourcefire, Inc. (NASDAQ:FIRE)When using filings from the hedgies we track, Columbus Circle Investors, managed by Donald Chiboucis, holds the largest position in Sourcefire, Inc. (NASDAQ:FIRE). Columbus Circle Investors has a $57 million position in the stock, comprising 0.5% of its 13F portfolio. The second largest stake is held by Ken Griffin of Citadel Investment Group, with a $18.9 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Remaining peers with similar optimism include Jim Simons’s Renaissance Technologies, Guru Ramakrishnan’s Meru Capital and Brian Ashford-Russell and Tim Woolley’s Polar Capital.

Due to the fact Sourcefire, Inc. (NASDAQ:FIRE) has witnessed dropping sentiment from the top-tier hedge fund industry, logic holds that there is a sect of hedgies who sold off their positions entirely heading into Q2. Interestingly, Dmitry Balyasny’s Balyasny Asset Management sold off the biggest investment of all the hedgies we track, comprising close to $21.5 million in call options., and Wojciech Uzdelewicz of Espalier Global Management was right behind this move, as the fund said goodbye to about $7.4 million worth. These bearish behaviors are interesting, as total hedge fund interest dropped by 7 funds heading into Q2.

What have insiders been doing with Sourcefire, Inc. (NASDAQ:FIRE)?

Insider buying is particularly usable when the company we’re looking at has seen transactions within the past 180 days. Over the last 180-day time period, Sourcefire, Inc. (NASDAQ:FIRE) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).

We’ll also take a look at the relationship between both of these indicators in other stocks similar to Sourcefire, Inc. (NASDAQ:FIRE). These stocks are Intralinks Holdings Inc (NYSE:IL), KEYW Holding Corp. (NASDAQ:KEYW), AsiaInfo-Linkage, Inc. (NASDAQ:ASIA), Mantech International Corp (NASDAQ:MANT), and Brady Corp (NYSE:BRC). All of these stocks are in the security software & services industry and their market caps are similar to FIRE’s market cap.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

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 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!