Here is What Hedge Funds Think About Monster Beverage Corp (NASDAQ:MNST)

Monster Beverage Corp (NASDAQ:MNST) was in 25 hedge funds’ portfolio at the end of the fourth quarter of 2012. MNST has seen a decrease in support from the world’s most elite money managers of late. There were 25 hedge funds in our database with MNST positions at the end of the previous quarter.

Monster Beverage Corp (NASDAQ:MNST)

According to most investors, hedge funds are seen as worthless, outdated financial tools of the past. While there are over 8000 funds in operation at the moment, we choose to focus on the masters of this group, around 450 funds. It is widely believed that this group oversees the majority of all hedge funds’ total asset base, and by watching their highest performing equity investments, we have uncovered a number of investment strategies that have historically outstripped the market. Our small-cap hedge fund strategy outpaced the S&P 500 index by 18 percentage points per year 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 25 percentage points in 6.5 month (check out a sample of our picks).

Equally as important, bullish insider trading activity is a second way to parse down the marketplace. Just as you’d expect, there are plenty of stimuli for an upper level exec to drop shares of his or her company, but just one, very simple reason why they would buy. Various academic studies have demonstrated the useful potential of this strategy if piggybackers know what to do (learn more here).

Now, it’s important to take a peek at the key action regarding Monster Beverage Corp (NASDAQ:MNST).

Hedge fund activity in Monster Beverage Corp (NASDAQ:MNST)

In preparation for this year, a total of 25 of the hedge funds we track were bullish in this stock, a change of 0% from one quarter earlier. With hedge funds’ capital changing hands, there exists an “upper tier” of key hedge fund managers who were upping their stakes considerably.

Of the funds we track, Renaissance Technologies, managed by Jim Simons, holds the biggest position in Monster Beverage Corp (NASDAQ:MNST). Renaissance Technologies has a $100 million position in the stock, comprising 0.3% of its 13F portfolio. Coming in second is Citadel Investment Group, managed by Ken Griffin, which held a $77 million position; 1.9% of its 13F portfolio is allocated to the stock. Remaining peers with similar optimism include Arthur B Cohen and Joseph Healey’s Healthcor Management LP, Michael Lowenstein’s Kensico Capital and Shane Finemore’s Manikay Partners.

Seeing as Monster Beverage Corp (NASDAQ:MNST) has witnessed declining sentiment from the aggregate hedge fund industry, logic holds that there lies a certain “tier” of hedgies who were dropping their full holdings last quarter. Intriguingly, Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital dropped the biggest investment of the “upper crust” of funds we key on, valued at an estimated $84 million in stock.. Patrick McCormack’s fund, Tiger Consumer Management, also cut its stock, about $75 million worth. These bearish behaviors are important to note, as total hedge fund interest stayed the same (this is a bearish signal in our experience).

How have insiders been trading Monster Beverage Corp (NASDAQ:MNST)?

Insider trading activity, especially when it’s bullish, is most useful when the company in question has experienced transactions within the past half-year. Over the last six-month time frame, Monster Beverage Corp (NASDAQ:MNST) has experienced zero unique insiders buying, and 4 insider sales (see the details of insider trades here).

With the returns demonstrated by the aforementioned tactics, retail investors must always monitor hedge fund and insider trading sentiment, and Monster Beverage Corp (NASDAQ:MNST) is an important part of this process.

Click here to learn more about Insider Monkey’s Hedge Fund Newsletter

Insider Monkey’s small-cap strategy returned 29.2% between September 2012 and February 2013 versus 8.7% for the S&P 500 index. Try it now by clicking the link above.

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

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

The 15 Most Common Phobias in America that Induce Fits of Panic

Top 6 Least Expensive Tourist Destinations in 2014

Jim Goetz, Peter Fenton, Jim Breyer: Top 6 Venture Investors for 2014

Top 15 Billionaires in 2014

5 Pitfalls To Avoid When Buying a Franchise

Top 20 Medical Schools in the US – 2014 Rankings

4 Business Strategies that Turned Jamie Oliver into the World’s Richest Chef

6 Qualities That Make You A Good Team Player

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!