Hedgies and Insiders Are Crazy About This Tech ‘Fab Five’ – Apple Inc. (AAPL), Adobe Systems Incorporated (ADBE)

Over the past half-decade, technology stocks have provided the biggest bang for Mr. Market’s buck, and it’s the only sector to appreciate more than 11 percentage points during this time period. While returns haven’t been quite as dominant in recent months, there are still plenty of opportunities in this space if you know where to look.

At Insider Monkey, we’ve proven that one of the best ways to parse down the marketplace is to look at what top-tier hedge funds and insiders are buying. Gauging this so-called “smart sentiment” is important, as our research has proven that both phenomena beat the market quite handily over the long run (see how to use this strategy yourself).

Furthermore, the Billionaire Hedge Fund Index—a result of our recent collaboration with MarketWatch—returned 24.3% last year vs. 16% for the S&P 500 ETF [s:SPY]. The index tracks close to 40 billionaire hedge fund managers, and proves that the cream of the crop still has splendid investment chops.

Without further ado, let’s take a look at the top companies in the technology sector that hedgies and insiders are bullish on.

According to hedge funds’ latest round of 13F filings with the SEC, Apple Inc. (NASDAQ:AAPL) takes the top spot on this list; the stock has bullish interest from more than 36% of the managers we track. Apple Inc. (NASDAQ:AAPL), which is also the top holding of the Billionaire Hedge Fund Index, has seen one insider—Director Robert Iger—buying up stock in the past three months. Clearly, shares of Apple Inc. (NASDAQ:AAPL) are cheap no matter how you slice the metrics, but it appears that greater value-creation is needed to pull more income-seeking investors into the fold.

EMC Corporation (NYSE:EMC) is No. 2, and about 15% of the hedge funds we track hold long positions. The diversified IT company has seen one insider snatching up shares over the past three months, though EMC’s market cap has shrunk by 2.7% since the start of 2013. Wall Street’s average price target on EMC still indicates that an upside of about 20% is expected from current levels, and steady margin improvement should continue to be a key strength over the long run.

Aside from Apple Inc. (NASDAQ:AAPL) and EMC, did Adobe Systems Incorporated (NASDAQ:ADBE) make the cut?