Hedge Funds and other institutional investors have just completed filing their 13Fs with the Securities and Exchange Commission, revealing their equity portfolios as of the end of September. At Insider Monkey, we follow over 700 of the best-performing investors and by analyzing their 13F filings, we can determine the stocks that they are collectively bullish on. One of their picks is Intralinks Holdings Inc (NYSE:IL), so let’s take a closer look at the sentiment that surrounds it in the current quarter.
Intralinks Holdings Inc (NYSE:IL) has experienced an increase in support from the world’s most elite money managers in recent months. IL was in 26 hedge funds’ portfolios at the end of September. There were 24 hedge funds in our database with IL holdings at the end of the previous quarter. At the end of this article we will also compare IL to other stocks, including Vera Bradley, Inc. (NASDAQ:VRA), Fidelity Southern Corporation (NASDAQ:LION), and Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) to get a better sense of its popularity.
Follow Intralinks Holdings Inc. (NYSE:IL)
Follow Intralinks Holdings Inc. (NYSE:IL)
In the financial world, there are a multitude of metrics stock market investors use to size up stocks. A pair of the most underrated metrics are hedge fund and insider trading interest. We have shown that, historically, those who follow the best picks of the best fund managers can beat their index-focused peers by a significant margin (see the details here).
With all of this in mind, let’s take a peek at the new action surrounding Intralinks Holdings Inc (NYSE:IL).
What does the smart money think about Intralinks Holdings Inc (NYSE:IL)?
At Q3’s end, a total of 26 of the hedge funds tracked by Insider Monkey were long this stock, an increase of 8% from one quarter earlier. With hedgies’ positions undergoing their usual ebb and flow, there exists a select group of notable hedge fund managers who were increasing their stakes significantly (or already accumulated large positions).
According to Insider Monkey’s hedge fund database, Jim Simons’s Renaissance Technologies has the biggest position in Intralinks Holdings Inc (NYSE:IL), worth close to $20.5 million, amounting to less than 0.1% of its total 13F portfolio. Sitting at the No. 2 spot is Freshford Capital Management, managed by Michael Doheny, which holds a $19.8 million position; the fund has 4.3% of its 13F portfolio invested in the stock. Remaining members of the smart money that are bullish consist of Joshua Nash’s Ulysses Management, Peter S. Park’s Park West Asset Management and J. Carlo Cannell’s Cannell Capital.
As aggregate interest increased, key hedge funds were breaking ground themselves. Fisher Asset Management, managed by Ken Fisher, established the largest position in Intralinks Holdings Inc (NYSE:IL). The fund reportedly had $1.7 million invested in the company at the end of the quarter. Chao Ku’s Nine Chapters Capital Management also made a $0.2 million investment in the stock during the quarter. The only other fund with a new position in the stock is Matthew Tewksbury’s Stevens Capital Management.
Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Intralinks Holdings Inc (NYSE:IL) but similarly valued. These stocks are Vera Bradley, Inc. (NASDAQ:VRA), Fidelity Southern Corporation (NASDAQ:LION), Vanda Pharmaceuticals Inc. (NASDAQ:VNDA), and K12 Inc. (NYSE:LRN). This group of stocks’ market values are similar to IL’s market value.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| VRA | 15 | 79421 | -1 |
| LION | 16 | 52711 | -1 |
| VNDA | 23 | 280983 | -2 |
| LRN | 19 | 59060 | 1 |
As you can see these stocks had an average of 18 hedge funds with bullish positions and the average amount invested in these stocks was $118 million. That figure was $126 million in IL’s case. Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) is the most popular stock in this table. On the other hand Vera Bradley, Inc. (NASDAQ:VRA) is the least popular one with only 15 bullish hedge fund positions. With 26 long positions, Intralinks Holdings Inc (NYSE:IL) clearly outshines the lot. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.
