NQ Mobile Inc (ADR) (NYSE:NQ) was in 14 hedge funds' portfolio at the end of March. NQ investors should pay attention to an increase in enthusiasm from smart money lately. There were 7 hedge funds in our database with NQ holdings at the end of the previous quarter.
In the financial world, there are a multitude of indicators shareholders can use to watch stocks. A couple of the most under-the-radar are hedge fund and insider trading activity. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the best money managers can outperform the S&P 500 by a healthy amount (see just how much).
Equally as key, optimistic insider trading activity is a second way to parse down the world of equities. There are a number of stimuli for an executive to drop shares of his or her company, but just one, very simple reason why they would behave bullishly. Many academic studies have demonstrated the impressive potential of this strategy if "monkeys" know what to do (learn more here).
With all of this in mind, we're going to take a glance at the latest action surrounding NQ Mobile Inc (ADR) (NYSE:NQ).
At the end of the first quarter, a total of 14 of the hedge funds we track were long in this stock, a change of 100% from the previous quarter. With hedgies' sentiment swirling, there exists an "upper tier" of noteworthy hedge fund managers who were upping their stakes significantly.
Of the funds we track, P.A.W. CAPITAL PARTNERS, managed by Peter A. Wright, holds the biggest position in NQ Mobile Inc (ADR) (NYSE:NQ). P.A.W. CAPITAL PARTNERS has a $9.2 million position in the stock, comprising 6.7% of its 13F portfolio. Sitting at the No. 2 spot is Panayotis Takis Sparaggis of Alkeon Capital Management, with a $2.7 million position; 0.1% of its 13F portfolio is allocated to the stock. Remaining hedge funds that hold long positions include D. E. Shaw's D E Shaw, SAC Subsidiary's CR Intrinsic Investors and Jeffrey Vinik's Vinik Asset Management.
As aggregate interest increased, specific money managers have jumped into NQ Mobile Inc (ADR) (NYSE:NQ) headfirst. CR Intrinsic Investors, managed by SAC Subsidiary, assembled the most outsized position in NQ Mobile Inc (ADR) (NYSE:NQ). CR Intrinsic Investors had 2.2 million invested in the company at the end of the quarter. Jeffrey Vinik's Vinik Asset Management also initiated a $1.9 million position during the quarter. The other funds with new positions in the stock are Peter A. Wright's P.A.W. CAPITAL PARTNERS, Mike Vranos's Ellington, and Richard Driehaus's Driehaus Capital.
Insider purchases made by high-level executives is at its handiest when the company in question has experienced transactions within the past half-year. Over the last half-year time frame, NQ Mobile Inc (ADR) (NYSE:NQ) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).
Let's go over hedge fund and insider activity in other stocks similar to NQ Mobile Inc (ADR) (NYSE:NQ). These stocks are SeaChange International (NASDAQ:SEAC), LogMeIn Inc (NASDAQ:LOGM), Qualys Inc (NASDAQ:QLYS), Responsys Inc (NASDAQ:MKTG), and Incontact Inc (NASDAQ:SAAS). This group of stocks are in the application software industry and their market caps are similar to NQ's market cap.