Is Emulex Corporation (NYSE:ELX) Going to Burn These Hedge Funds?

Is Emulex Corporation (NYSE:ELX) ready to raly soon? Investors who are in the know are taking a bearish view. The number of long hedge fund positions decreased by 3 lately.

Emulex Corporation (NYSE:ELX)

In today’s marketplace, there are tons of methods market participants can use to monitor their holdings. Two of the most useful are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the best investment managers can beat the broader indices by a superb margin (see just how much).

Equally as integral, bullish insider trading sentiment is a second way to parse down the financial markets. Just as you’d expect, there are plenty of reasons for a corporate insider to cut shares of his or her company, but only one, very clear reason why they would behave bullishly. Many empirical studies have demonstrated the valuable potential of this strategy if piggybackers know what to do (learn more here).

Now, we’re going to take a peek at the latest action surrounding Emulex Corporation (NYSE:ELX).

What does the smart money think about Emulex Corporation (NYSE:ELX)?

Heading into 2013, a total of 17 of the hedge funds we track were bullish in this stock, a change of -15% from the previous quarter. With hedge funds’ capital changing hands, there exists an “upper tier” of notable hedge fund managers who were boosting their stakes considerably.

According to our comprehensive database, Paul Singer’s Elliott Management had the largest position in Emulex Corporation (NYSE:ELX), worth close to $65 million, comprising 2% of its total 13F portfolio. On Elliott Management’s heels is Altai Capital, managed by Rishi Bajaj, Toby Symonds, and Steve Tesoriere, which held a $30 million position; the fund has 11.9% of its 13F portfolio invested in the stock. Remaining hedgies with similar optimism include Ken Griffin’s Citadel Investment Group, Jim Simons’s Renaissance Technologies and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital.

Because Emulex Corporation (NYSE:ELX) has experienced bearish sentiment from the smart money, we can see that there was a specific group of money managers who were dropping their positions entirely heading into 2013. Intriguingly, Mark Broach’s Manatuck Hill Partners said goodbye to the biggest stake of all the hedgies we key on, totaling close to $12 million in stock., and Joseph A. Jolson of Harvest Capital Strategies was right behind this move, as the fund dumped about $3 million worth. These moves are intriguing to say the least, as total hedge fund interest fell by 3 funds heading into 2013.

What have insiders been doing with Emulex Corporation (NYSE:ELX)?

Insider buying is most useful when the company in focus has experienced transactions within the past 180 days. Over the latest six-month time period, Emulex Corporation (NYSE:ELX) has experienced 2 unique insiders buying, and 5 insider sales (see the details of insider trades here).

With the returns demonstrated by our studies, everyday investors must always watch hedge fund and insider trading activity, and Emulex Corporation (NYSE:ELX) 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

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

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!