Here is What Hedge Funds Think About Vanguard Health Systems, Inc. (VHS)

Page 1 of 2

Vanguard Health Systems, Inc. (NYSE:VHS) was in 12 hedge funds’ portfolio at the end of March. VHS has seen an increase in support from the world’s most elite money managers lately. There were 11 hedge funds in our database with VHS positions at the end of the previous quarter.

Vanguard Health Systems, Inc. (NYSE:VHS)According to most stock holders, hedge funds are seen as worthless, outdated financial vehicles of the past. While there are over 8000 funds trading at present, we choose to focus on the upper echelon of this club, about 450 funds. Most estimates calculate that this group oversees the majority of the hedge fund industry’s total capital, and by paying attention to their top equity investments, we have figured out a number of investment strategies that have historically outstripped the S&P 500 index. 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 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).

Just as integral, optimistic insider trading sentiment is a second way to break down the marketplace. Obviously, there are lots of motivations for a bullish insider to get rid of shares of his or her company, but only one, very clear reason why they would initiate a purchase. Various academic studies have demonstrated the market-beating potential of this tactic if investors understand what to do (learn more here).

With these “truths” under our belt, we’re going to take a peek at the recent action encompassing Vanguard Health Systems, Inc. (NYSE:VHS).

How are hedge funds trading Vanguard Health Systems, Inc. (NYSE:VHS)?

In preparation for this quarter, a total of 12 of the hedge funds we track were long in this stock, a change of 9% from the first quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists an “upper tier” of notable hedge fund managers who were increasing their stakes significantly.

According to our comprehensive database, Stephen DuBois’s Camber Capital Management had the biggest position in Vanguard Health Systems, Inc. (NYSE:VHS), worth close to $46.8 million, accounting for 3.8% of its total 13F portfolio. Coming in second is Redmile Group, managed by Jeremy Green, which held a $10.9 million position; 2% of its 13F portfolio is allocated to the company. Other hedge funds with similar optimism include Mark Kingdon’s Kingdon Capital, Barton Biggs’s Traxis Partners and James E. Flynn’s Deerfield Management.

As industrywide interest jumped, specific money managers have jumped into Vanguard Health Systems, Inc. (NYSE:VHS) headfirst. Arrowstreet Capital, managed by Peter Rathjens, Bruce Clarke and John Campbell, assembled the largest position in Vanguard Health Systems, Inc. (NYSE:VHS). Arrowstreet Capital had 0.3 million invested in the company at the end of the quarter. Cliff Asness’s AQR Capital Management also initiated a $0.2 million position during the quarter. The only other fund with a brand new VHS position is Ken Griffin’s Citadel Investment Group.

What have insiders been doing with Vanguard Health Systems, Inc. (NYSE:VHS)?

Insider purchases made by high-level executives is at its handiest when the company we’re looking at has experienced transactions within the past half-year. Over the latest half-year time frame, Vanguard Health Systems, Inc. (NYSE:VHS) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).

Let’s check out hedge fund and insider activity in other stocks similar to Vanguard Health Systems, Inc. (NYSE:VHS). These stocks are Community Health Systems (NYSE:CYH), Health Management Associates Inc (NYSE:HMA), LifePoint Hospitals, Inc. (NASDAQ:LPNT), Select Medical Holdings Corporation (NYSE:SEM), and Amsurg Corp (NASDAQ:AMSG). This group of stocks are the members of the hospitals industry and their market caps are similar to VHS’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

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!