Is MDC Partners Inc. (USA) (MDCA) Going to Burn These Hedge Funds?

Page 1 of 2

MDC Partners Inc. (USA) (NASDAQ:MDCA) was in 6 hedge funds’ portfolio at the end of March. MDCA shareholders have witnessed a decrease in activity from the world’s largest hedge funds recently. There were 8 hedge funds in our database with MDCA holdings at the end of the previous quarter.

To most market participants, hedge funds are viewed as underperforming, old investment tools of yesteryear. While there are greater than 8000 funds in operation today, we hone in on the moguls of this club, about 450 funds. It is estimated that this group has its hands on most of all hedge funds’ total asset base, and by tracking their best investments, we have uncovered a number of investment strategies that have historically outpaced the S&P 500 index. Our small-cap hedge fund strategy outperformed 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 beaten the S&P 500 index by 23.3 percentage points in 8 months (explore the details and some picks here).

MDC Partners Inc. (USA) (NASDAQ:MDCA)Equally as integral, optimistic insider trading activity is a second way to break down the investments you’re interested in. As the old adage goes: there are a number of reasons for an insider to drop shares of his or her company, but just one, very obvious reason why they would behave bullishly. Various empirical studies have demonstrated the market-beating potential of this method if shareholders know what to do (learn more here).

Consequently, we’re going to take a glance at the recent action encompassing MDC Partners Inc. (USA) (NASDAQ:MDCA).

What have hedge funds been doing with MDC Partners Inc. (USA) (NASDAQ:MDCA)?

At the end of the first quarter, a total of 6 of the hedge funds we track were long in this stock, a change of -25% from the first quarter. With the smart money’s capital changing hands, there exists a few noteworthy hedge fund managers who were upping their stakes meaningfully.

When looking at the hedgies we track, Amy Minella’s Cardinal Capital had the largest position in MDC Partners Inc. (USA) (NASDAQ:MDCA), worth close to $25.4 million, accounting for 1.6% of its total 13F portfolio. Coming in second is Jonathan Kolatch of Redwood Capital Management, with a $8.1 million position; 1.2% of its 13F portfolio is allocated to the stock. Remaining hedge funds that are bullish include Jim Simons’s Renaissance Technologies, D. E. Shaw’s D E Shaw and Israel Englander’s Millennium Management.

Seeing as MDC Partners Inc. (USA) (NASDAQ:MDCA) has experienced declining sentiment from the entirety of the hedge funds we track, it’s safe to say that there exists a select few money managers who sold off their full holdings heading into Q2. Interestingly, Leon Cooperman’s Omega Advisors dropped the biggest investment of the “upper crust” of funds we track, totaling close to $2.3 million in stock.. Ken Brodkowitz and Mike Vermut’s fund, Newland Capital, also cut its stock, about $0.2 million worth. These moves are interesting, as aggregate hedge fund interest fell by 2 funds heading into Q2.

Insider trading activity in MDC Partners Inc. (USA) (NASDAQ:MDCA)

Bullish insider trading is most useful when the primary stock in question has experienced transactions within the past 180 days. Over the latest 180-day time frame, MDC Partners Inc. (USA) (NASDAQ:MDCA) has seen zero unique insiders purchasing, 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 MDC Partners Inc. (USA) (NASDAQ:MDCA). These stocks are Valassis Communications, Inc. (NYSE:VCI), National CineMedia, Inc. (NASDAQ:NCMI), Constant Contact Inc (NASDAQ:CTCT), Harte-Hanks, Inc. (NYSE:HHS), and Millennial Media, Inc. (NYSE:MM). All of these stocks are in the marketing services industry and their market caps are closest to MDCA’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

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

6 Ways 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

10 High Paying Seasonal Jobs in America this Holiday Season

The 10 Busiest Shipping Lanes in the World

5 Most Valuable Brands in China

The 10 States with Highest Substance Abuse Rates Crippling Their Populace

The Top 10 Things to Do Before You Die That Will Echo for Eternity

The 10 Best Selling Items on Etsy

Top 10 Things to Do in Tokyo, the Greatest City in the World

10 Mistakes on Social Media that Can Harm You and Will Probably Get You Canned

The 10 Best Cities to Find Jobs in 2014

The 10 Most Controversial Songs Of All Time to Hit (and get Banned from) the Airwaves

The 20 Biggest IPOs in US History

The 10 Best Places to Visit in Mexico that Are Beautiful and Safe

7 Bad Habits that Age You Beyond Your Years

The 40 Best Fortune Cookie Sayings That Will Leave You Bemused, Befuddled, or Beguiled

10 Foods to Eat Before a Workout to Make Every Drop of Sweat Count

The 5 Best Documentaries On Netflix You Must See

The Most Heartwarming and Inspirational Story Of This Halloween Season, It Will Make You Cry and Jump For Joy

10 Best Party Songs of All Time to Bring the House Down With

5 New World Order Conspiracy Theories that Will Strangle the World

The 10 Highest Rated Movies of 2014

The 10 Largest Container Shipping Companies in the World

The 10 Largest Armies in the World: Who Should We Be Afraid Of?

Best Warren Buffett Quotes on Money You Need to Hear

The 10 Highest Suicide Rates by Profession

The 20 Most Underrated Movies of All Time

The 10 Fastest Growing Companies in America

The 10 Biggest Outlet Malls in USA

The 5 Most Popular Rap Songs of All Time

The 10 Countries that Eat the Most Meat

The10 Most Expensive Countries to Fly To

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!