Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Should You Avoid Targacept , Inc. (TRGT)?

Page 1 of 2

Is Targacept , Inc. (NASDAQ:TRGT) a buy right now? Prominent investors are turning less bullish. The number of long hedge fund bets dropped by 1 lately.

To the average investor, there are plenty of gauges shareholders can use to watch their holdings. A couple of the best are hedge fund and insider trading sentiment. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the elite money managers can outclass the broader indices by a healthy margin (see just how much).

RENAISSANCE TECHNOLOGIESEqually as beneficial, positive insider trading activity is another way to break down the stock market universe. Just as you’d expect, there are lots of incentives for a corporate insider to drop shares of his or her company, but only one, very simple reason why they would initiate a purchase. Several empirical studies have demonstrated the impressive potential of this tactic if you know what to do (learn more here).

With all of this in mind, we’re going to take a glance at the latest action regarding Targacept , Inc. (NASDAQ:TRGT).

What have hedge funds been doing with Targacept , Inc. (NASDAQ:TRGT)?

At Q1’s end, a total of 9 of the hedge funds we track were long in this stock, a change of -10% from the previous quarter. With hedge funds’ capital changing hands, there exists an “upper tier” of key hedge fund managers who were upping their stakes meaningfully.

According to our comprehensive database, D. E. Shaw’s D E Shaw had the biggest position in Targacept , Inc. (NASDAQ:TRGT), worth close to $1.6 million, comprising less than 0.1%% of its total 13F portfolio. Coming in second 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 hedgies that hold long positions include Israel Englander’s Millennium Management, Jacob Gottlieb’s Visium Asset Management and Sander Gerber’s Hudson Bay Capital Management.

Seeing as Targacept , Inc. (NASDAQ:TRGT) has faced a declination in interest from the aggregate hedge fund industry, logic holds that there is a sect of fund managers who were dropping their positions entirely at the end of the first quarter. Intriguingly, Ben Levine, Andrew Manuel and Stefan Renold’s LMR Partners cut the biggest investment of the 450+ funds we monitor, worth an estimated $0.1 million in stock.. Peter Algert and Kevin Coldiron’s fund, Algert Coldiron Investors, also dumped its stock, about $0.1 million worth. These bearish behaviors are important to note, as total hedge fund interest was cut by 1 funds at the end of the first quarter.

What have insiders been doing with Targacept , Inc. (NASDAQ:TRGT)?

Insider buying is particularly usable when the company we’re looking at has experienced transactions within the past 180 days. Over the latest 180-day time period, Targacept , Inc. (NASDAQ:TRGT) has experienced 2 unique insiders purchasing, and zero insider sales (see the details of insider trades here).

Let’s also examine hedge fund and insider activity in other stocks similar to Targacept , Inc. (NASDAQ:TRGT). These stocks are ZIOPHARM Oncology Inc. (NASDAQ:ZIOP), Chelsea Therapeutics International Ltd. (NASDAQ:CHTP), Geron Corporation (NASDAQ:GERN), and Pacific Biosciences of California (NASDAQ:PACB). This group of stocks belong to the biotechnology industry and their market caps match TRGT’s market cap.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

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 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!