Is Lionbridge Technologies, Inc. (NASDAQ:LIOX) an exceptional investment right now? Hedge funds are reducing their bets on the stock. The number of bullish hedge fund bets shrunk by 1 in recent months.
Equally as important, bullish insider trading sentiment is a second way to parse down the world of equities. Just as you’d expect, there are a number of reasons for an upper level exec to cut shares of his or her company, but only one, very simple reason why they would buy. Many empirical studies have demonstrated the useful potential of this strategy if you understand what to do (learn more here).
With all of this in mind, we’re going to take a glance at the key action surrounding Lionbridge Technologies, Inc. (NASDAQ:LIOX).
What does the smart money think about Lionbridge Technologies, Inc. (NASDAQ:LIOX)?
Heading into Q2, a total of 11 of the hedge funds we track were long in this stock, a change of -8% from the previous quarter. With hedge funds’ positions undergoing their usual ebb and flow, there exists a select group of notable hedge fund managers who were boosting their holdings meaningfully.
According to our comprehensive database, Glenn J. Krevlin’s Glenhill Advisors had the biggest position in Lionbridge Technologies, Inc. (NASDAQ:LIOX), worth close to $24.3 million, accounting for 3.3% of its total 13F portfolio. Sitting at the No. 2 spot is Jim Simons of Renaissance Technologies, with a $1.4 million position; less than 0.1%% of its 13F portfolio is allocated to the stock. Some other peers with similar optimism include Robert B. Gillam’s McKinley Capital Management, Joel Greenblatt’s Gotham Asset Management and Israel Englander’s Millennium Management.
Because Lionbridge Technologies, Inc. (NASDAQ:LIOX) has experienced declining sentiment from hedge fund managers, it’s easy to see that there exists a select few hedgies who sold off their entire stakes at the end of the first quarter. It’s worth mentioning that Neil Chriss’s Hutchin Hill Capital said goodbye to the largest investment of the “upper crust” of funds we watch, worth about $0.2 million in stock., and Steven Cohen of SAC Capital Advisors was right behind this move, as the fund cut about $0.1 million worth. These moves are important to note, as aggregate hedge fund interest fell by 1 funds at the end of the first quarter.
How are insiders trading Lionbridge Technologies, Inc. (NASDAQ:LIOX)?
Insider purchases made by high-level executives is best served when the company we’re looking at has experienced transactions within the past six months. Over the latest six-month time frame, Lionbridge Technologies, Inc. (NASDAQ:LIOX) has seen 2 unique insiders purchasing, and 1 insider sales (see the details of insider trades here).
Let’s check out hedge fund and insider activity in other stocks similar to Lionbridge Technologies, Inc. (NASDAQ:LIOX). These stocks are PRGX Global Inc (NASDAQ:PRGX), Limelight Networks, Inc. (NASDAQ:LLNW), Swisher Hygiene, Inc. (NASDAQ:SWSH), Carbonite Inc (NASDAQ:CARB), and PowerSecure International, Inc. (NASDAQ:POWR). All of these stocks are in the business services industry and their market caps resemble LIOX’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| PRGX Global Inc (NASDAQ:PRGX) | 9 | 0 | 1 |
| Limelight Networks, Inc. (NASDAQ:LLNW) | 5 | 2 | 1 |
| Swisher Hygiene, Inc. (NASDAQ:SWSH) | 4 | 0 | 0 |
| Carbonite Inc (NASDAQ:CARB) | 6 | 0 | 6 |
| PowerSecure International, Inc. (NASDAQ:POWR) | 9 | 0 | 2 |
With the results exhibited by the aforementioned studies, everyday investors must always keep an eye on hedge fund and insider trading sentiment, and Lionbridge Technologies, Inc. (NASDAQ:LIOX) applies perfectly to this mantra.
