Here is What Hedge Funds Think About New Oriental Education & Tech Grp (ADR) (EDU)

Page 1 of 2

New Oriental Education & Tech Grp (ADR) (NYSE:EDU) was in 9 hedge funds’ portfolio at the end of March. EDU investors should be aware of a decrease in support from the world’s most elite money managers recently. There were 9 hedge funds in our database with EDU holdings at the end of the previous quarter.

To most shareholders, hedge funds are seen as underperforming, outdated financial tools of yesteryear. While there are greater than 8000 funds trading today, we at Insider Monkey hone in on the crème de la crème of this club, 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 picks, we have unearthed a number of investment strategies that have historically outperformed Mr. Market. Our small-cap hedge fund strategy outstripped the S&P 500 index by 18 percentage points annually 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 outperformed the S&P 500 index by 23.3 percentage points in 8 months (see the details here).

New Oriental Education & Tech Grp (ADR) (NYSE:EDU)Just as integral, bullish insider trading sentiment is a second way to break down the world of equities. Obviously, there are a variety of stimuli for an executive to sell shares of his or her company, but only one, very clear reason why they would initiate a purchase. Several empirical studies have demonstrated the valuable potential of this tactic if investors know what to do (learn more here).

Now, we’re going to take a gander at the latest action encompassing New Oriental Education & Tech Grp (ADR) (NYSE:EDU).

How have hedgies been trading New Oriental Education & Tech Grp (ADR) (NYSE:EDU)?

Heading into Q2, a total of 9 of the hedge funds we track held long positions in this stock, a change of 0% from one quarter earlier. With hedgies’ capital changing hands, there exists a few key hedge fund managers who were upping their stakes considerably.

Of the funds we track, Brookside Capital, managed by Bain Capital, holds the biggest position in New Oriental Education & Tech Grp (ADR) (NYSE:EDU). Brookside Capital has a $113.7 million position in the stock, comprising 2.5% of its 13F portfolio. On Brookside Capital’s heels is Sloane Robinson Investment Management, managed by Hugh Sloane, which held a $30.6 million position; the fund has 50.1% of its 13F portfolio invested in the stock. Some other hedgies that hold long positions include Lei Zhang’s Hillhouse Capital Management, Ken Griffin’s Citadel Investment Group and Frank Brosens’s Taconic Capital.

Due to the fact that New Oriental Education & Tech Grp (ADR) (NYSE:EDU) has experienced a declination in interest from the smart money, it’s easy to see that there was a specific group of hedgies who were dropping their entire stakes in Q1. Interestingly, Robert Karr’s Joho Capital dumped the biggest investment of all the hedgies we monitor, worth an estimated $37.5 million in stock.. Richard Driehaus’s fund, Driehaus Capital, also dropped its stock, about $1.8 million worth. These bearish behaviors are interesting, as total hedge fund interest stayed the same (this is a bearish signal in our experience).

What do corporate executives and insiders think about New Oriental Education & Tech Grp (ADR) (NYSE:EDU)?

Insider buying is best served when the company in focus has seen transactions within the past half-year. Over the latest six-month time frame, New Oriental Education & Tech Grp (ADR) (NYSE:EDU) has seen zero unique insiders buying, and zero insider sales (see the details of insider trades here).

Let’s also review hedge fund and insider activity in other stocks similar to New Oriental Education & Tech Grp (ADR) (NYSE:EDU). These stocks are Education Management Corp (NASDAQ:EDMC), K12 Inc. (NYSE:LRN), Strayer Education Inc (NASDAQ:STRA), Bridgepoint Education Inc (NYSE:BPI), and TAL Education Group (ADR) (NYSE:XRS). All of these stocks are in the education & training services industry and their market caps are similar to EDU’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

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

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!