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 Buy HubSpot Inc (HUBS)?

Page 1 of 2

Hedge funds and large money managers usually invest with a focus on the long-term horizon and, therefore, short-lived dips on the charts, usually don’t make them change their opinion towards a company. This time it may be different. During the third quarter we observed increased volatility and small-cap stocks underperformed the market. Hedge fund investor letters indicated that they are cutting their overall exposure, closing out some position and doubling down on others. Let’s take a look at the hedge fund sentiment towards HubSpot Inc (NYSE:HUBS) to find out whether it was one of their high conviction long-term ideas.

Is HubSpot ready to rally soon? Hedge funds are betting on the stock. The number of long hedge fund positions inched up by 3 recently. HUBS was in 10 hedge funds’ portfolios at the end of the third quarter of 2015. There were 7 hedge funds in our database with HUBS positions at the end of the previous quarter. The level and the change in hedge fund popularity aren’t the only variables you need to analyze to decipher hedge funds’ perspectives. A stock may witness a boost in popularity, but it may still be less popular than similarly priced stocks. That’s why at the end of this article we will examine companies such as Trustmark Corp (NASDAQ:TRMK), WPX Energy Inc (NYSE:WPX), and OmniVision Technologies, Inc. (NASDAQ:OVTI) to gather more data points.

Follow Hubspot Inc
Trade (HUBS) Now!

According to most market participants, hedge funds are seen as unimportant, outdated investment vehicles of years past. While there are more than 8000 funds with their doors open at present, We choose to focus on the bigwigs of this club, around 700 funds. Most estimates calculate that this group of people watch over bulk of the hedge fund industry’s total asset base, and by keeping track of their unrivaled investments, Insider Monkey has found various investment strategies that have historically defeated the S&P 500 index. Insider Monkey’s small-cap hedge fund strategy outstripped the S&P 500 index by 12 percentage points a year for a decade in their back tests.

Keeping this in mind, we’re going to take a peek at the latest action encompassing HubSpot Inc (NYSE:HUBS).

What does the smart money think about HubSpot Inc (NYSE:HUBS)?

Heading into Q4, a total of 10 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 43% from the second quarter. With hedge funds’ sentiment swirling, there exists an “upper tier” of noteworthy hedge fund managers who were increasing their holdings meaningfully (or already accumulated large positions).

When looking at the institutional investors followed by Insider Monkey, Light Street Capital, managed by Glen Kacher, holds the biggest position in HubSpot Inc (NYSE:HUBS). Light Street Capital has a $18.5 million position in the stock, comprising 2.8% of its 13F portfolio. Sitting at the No. 2 spot is Brad Gerstner of Altimeter Capital Management, with a $13.8 million position; the fund has 0.9% of its 13F portfolio invested in the stock. Remaining members of the smart money that are bullish consist of Ken Griffin’s Citadel Investment Group and Jim Simons’ Renaissance Technologies and Drew Cupps’s Cupps Capital Management.

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...
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 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!