Is Fortinet Inc (FTNT) Going to Burn You?

Page 1 of 2

Fortinet Inc (NASDAQ:FTNT) investors: listen up.

At the moment, there are plenty of indicators investors can use to analyze stocks. Two of the most useful are hedge fund and insider trading activity. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the top hedge fund managers can outclass their index-focused peers by a very impressive amount (see just how much).

Fortinet Inc (NASDAQ:FTNT)

Equally as key, bullish insider trading activity is another way to analyze the financial markets. There are lots of reasons for an executive to sell shares of his or her company, but only one, very simple reason why they would initiate a purchase. Several empirical studies have demonstrated the useful potential of this tactic if piggybackers understand what to do (learn more here).

What’s more, let’s examine the latest info about Fortinet Inc (NASDAQ:FTNT).

What does the smart money think about Fortinet Inc (NASDAQ:FTNT)?

At the end of the second quarter, a total of 27 of the hedge funds we track were bullish in this stock, a change of -31% from the previous quarter. With the smart money’s capital changing hands, there exists a select group of notable hedge fund managers who were increasing their holdings considerably.

Out of the hedge funds we follow, Lee Ainslie’s Maverick Capital had the largest position in Fortinet Inc (NASDAQ:FTNT), worth close to $208.7 million, comprising 2.8% of its total 13F portfolio. The second largest stake is held by Eminence Capital, managed by Ricky Sandler, which held a $59.3 million position; 1.5% of its 13F portfolio is allocated to the stock. Some other peers with similar optimism include John Lykouretzos’s Hoplite Capital Management, Brett Barakett’s Tremblant Capital and D. E. Shaw’s D E Shaw.

Since Fortinet Inc (NASDAQ:FTNT) has experienced dropping sentiment from the top-tier hedge fund industry, it’s easy to see that there was a specific group of hedgies who were dropping their entire stakes in Q1. Interestingly, Josh Resnick’s Jericho Capital Asset Management sold off the biggest stake of the 450+ funds we track, comprising close to $23 million in stock, and Andrew Sandler of Sandler Capital Management was right behind this move, as the fund dropped about $21.7 million worth. These bearish behaviors are important to note, as total hedge fund interest was cut by 12 funds in Q1.

How are insiders trading Fortinet Inc (NASDAQ:FTNT)?

Legal insider trading, particularly when it’s bullish, is particularly usable when the primary stock in question has seen transactions within the past 180 days. Over the latest half-year time period, Fortinet Inc (NASDAQ:FTNT) has experienced zero unique insiders purchasing, and 3 insider sales (see the details of insider trades here).

We’ll also review the relationship between both of these indicators in other stocks similar to Fortinet Inc (NASDAQ:FTNT). These stocks are Msci Inc (NYSE:MSCI), MICROS Systems, Inc. (NASDAQ:MCRS), Splunk Inc (NASDAQ:SPLK), Cadence Design Systems Inc (NASDAQ:CDNS), and CommVault Systems, Inc. (NASDAQ:CVLT). This group of stocks are in the application software industry and their market caps match FTNT’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 44 percentage points in 21 months Learn how!

Lists

The Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top Businesses to Invest In

Top 5 Things You Might Be Doing Wrong With Your Business

Top 5 Strategic Technology Trends in 2014

Top Rags to Riches Stories

Parenting Behavior That Promotes Future Leaders

Top 5 Mistakes Made by Small Businesses

Top 5 Most Common and Potentially Devastating Financial Blunders

Top 5 Highest Paying Jobs for Web Designers

Top 6 Most Respected Professions that Also Pay Well

Top 5 Pitfalls Investors Should Avoid

Top 6 Lawyers and Policy Makers Under 30

Top 6 New Year’s Resolutions for Entrepreneurs

Top 7 Locations to Check in on Facebook

Top 5 Mistakes made by Rookie eBay Sellers

Top 7 eBook Publishers in 2013

Top 6 Health Industry Trends in 2014

5 Lessons for Entrepreneurs from Seth Godin

Top 5 Success Tips from Jordan Belfort – the Wolf of Wall Street

Best Master’s in Finance Degree Programs

Top 6 Earning Celebrities Over 50

The most expensive sports to play

Top 7 Earning Celebrities Under 25

Best 7 Online Courses to Take: Free Finance MOOCs

Top 6 Bad Habits that Promote Failure

20 Most Valuable Soccer Teams in the World in 2013

12 Most Expensive Countries for Foreign Students

Top 30 Most Influential Women in the World

Top 20 Most Expensive New Year Eve Shows

Top 5 Best Vocational Careers

Top 10 Jobs for 2014 by Salary Gain (Predictions)

Top 5 Digital Trends for 2014

Top 6 Things You Can Do To Increase Your Productivity

Top 9 Trending Smartphones in 2013

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!