On Assignment, Inc. (ASGN): Here’s What You Should Watch

On Assignment, Inc. (NYSE:ASGN)On Assignment, Inc. (NYSE:ASGN) was in 9 hedge funds’ portfolio at the end of the fourth quarter of 2012. ASGN has seen a decrease in activity from the world’s largest hedge funds of late. There were 10 hedge funds in our database with ASGN positions at the end of the previous quarter.

In the eyes of most stock holders, hedge funds are perceived as unimportant, old financial tools of the past. While there are greater than 8000 funds in operation at present, we hone in on the bigwigs of this club, about 450 funds. Most estimates calculate that this group has its hands on most of the hedge fund industry’s total asset base, and by tracking their best equity investments, we have figured out a few investment strategies that have historically outstripped the market. Our small-cap hedge fund strategy outpaced the S&P 500 index by 18 percentage points per annum 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 24 percentage points in 7 months (explore the details and some picks here).

Equally as beneficial, positive insider trading activity is a second way to break down the financial markets. There are lots of motivations for a bullish insider to downsize shares of his or her company, but only one, very simple reason why they would initiate a purchase. Many empirical studies have demonstrated the market-beating potential of this method if piggybackers understand what to do (learn more here).

With these “truths” under our belt, let’s take a peek at the recent action regarding On Assignment, Inc. (NYSE:ASGN).

What does the smart money think about On Assignment, Inc. (NYSE:ASGN)?

Heading into 2013, a total of 9 of the hedge funds we track were bullish in this stock, a change of -10% from the previous quarter. With hedgies’ capital changing hands, there exists a select group of key hedge fund managers who were increasing their holdings significantly.

Of the funds we track, Driehaus Capital, managed by Richard Driehaus, holds the largest position in On Assignment, Inc. (NYSE:ASGN). Driehaus Capital has a $11.8 million position in the stock, comprising 0.4% of its 13F portfolio. The second largest stake is held by Royce & Associates, managed by Chuck Royce, which held a $10.2 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Other peers that are bullish include Robert B. Gillam’s McKinley Capital Management, Jim Simons’s Renaissance Technologies and John Murphy’s Alydar Capital.

Because On Assignment, Inc. (NYSE:ASGN) has faced bearish sentiment from the entirety of the hedge funds we track, logic holds that there lies a certain “tier” of fund managers that slashed their entire stakes in Q4. At the top of the heap, Ken Grossman and Glen Schneider’s SG Capital Management dumped the largest stake of all the hedgies we monitor, totaling about $2.5 million in stock., and Anand Parekh of Alyeska Investment Group was right behind this move, as the fund dumped about $0.8 million worth. These bearish behaviors are interesting, as total hedge fund interest was cut by 1 funds in Q4.

How are insiders trading On Assignment, Inc. (NYSE:ASGN)?

Insider purchases made by high-level executives is particularly usable when the company we’re looking at has seen transactions within the past half-year. Over the last six-month time frame, On Assignment, Inc. (NYSE:ASGN) has experienced 1 unique insiders buying, and 9 insider sales (see the details of insider trades here).

Let’s check out hedge fund and insider activity in other stocks similar to On Assignment, Inc. (NYSE:ASGN). These stocks are Compass Diversified Holdings (NYSE:CODI), Trueblue Inc (NYSE:TBI), Korn/Ferry International (NYSE:KFY), , and 51job, Inc. (ADR) (NASDAQ:JOBS). This group of stocks belong to the staffing & outsourcing services industry and their market caps resemble ASGN’s market cap.

Company Name # of Hedge Funds # of Insiders Buying # of Insiders Selling
Compass Diversified Holdings (NYSE:CODI) 5 7 0
Trueblue Inc (NYSE:TBI) 7 0 10
Korn/Ferry International (NYSE:KFY) 12 0 0
51job, Inc. (ADR) (NASDAQ:JOBS) 6 0 0

With the results demonstrated by our studies, retail investors should always pay attention to hedge fund and insider trading sentiment, and On Assignment, Inc. (NYSE:ASGN) shareholders fit into this picture quite nicely.

Click here to learn why you should track hedge funds

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 Top Reasons For Getting Fired

The 3 Best States to Start an LLC

10 Jobs That Allow You to Travel

7 High-Paying Jobs You Can Do From Home

12 Best Cities to Shop in USA

10 Best States To Practice Medicine

The 10 Best States to Have a Business

The 12 Most Expensive Apple (AAPL) Apps in the Market

The 10 Richest Billionaires in the World

10 Biggest Kickstarter Failures

The 10 Best Places to Work At

The Top 10 of Google Inc (GOOGL)’s Most Expensive Acquisitions

13 Best Cities to Visit in South America

10 Most Expensive Works of Art of All Time

The 10 Richest Banks in the World

The 10 Best-Paying Jobs in America (2014)

7 Most Expensive Foods in the World

The World’s Top 10 Earning Authors

Five Wicked and Very Expensive Items (and Other “Stuff”) Sold on eBay

10 Biggest Celebrity Bankruptcies

The Top 10 Highest Paid CEOs in 2014

The 10 Most Expensive Real Estate Cities in America

10 Most Expensive States To Live In America

The 10 Best Airlines in the World

The 10 Best-Selling Cars in 2014

The 10 Best Industries to Invest In

The 10 Most Expensive States to Own a Car In

Top 10 Business Schools in US: 2014 Rankings

Top 20 Female Billionaires in 2014

6 Movies That You Should Watch to Better Understand The Cold War

Top 15 Best Paying Jobs for Women in 2014

Top 6 Things Rich People Do Differently Every Day

5 Retirement Mistakes To Avoid (and Einstein’s Famous Quote)

11 Smartest People in the World

6 Films About the Financial World You Need To Watch (While “The Wolf” is Not Around)

Warren Buffett and Billionaires Are Crazy About These 7 Stocks

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

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!