Is SS and C Technologies Holdings Inc (NASDAQ:SSNC) a buy here? Money managers are becoming hopeful. The number of bullish hedge fund positions rose by 1 in recent months.
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Equally as key, optimistic insider trading sentiment is a second way to break down the stock market universe. Just as you'd expect, there are many motivations for a corporate insider to drop shares of his or her company, but only one, very simple reason why they would buy. Plenty of academic studies have demonstrated the market-beating potential of this strategy if "monkeys" know what to do (learn more here).
Now, we're going to take a look at the latest action encompassing SS and C Technologies Holdings Inc (NASDAQ:SSNC).
In preparation for this year, a total of 6 of the hedge funds we track held long positions in this stock, a change of 20% from the previous quarter. With the smart money's capital changing hands, there exists a select group of noteworthy hedge fund managers who were upping their holdings substantially.
When looking at the hedgies we track, D. E. Shaw's D E Shaw had the biggest position in SS and C Technologies Holdings Inc (NASDAQ:SSNC), worth close to $1.6 million, comprising less than 0.1%% of its total 13F portfolio. On D E Shaw's heels is Arrowstreet Capital, managed by Peter Rathjens, Bruce Clarke and John Campbell, which held a $1.2 million position; less than 0.1%% of its 13F portfolio is allocated to the company. Other hedgies with similar optimism include Paul Tudor Jones's Tudor Investment Corp, Steven Cohen's SAC Capital Advisors and Cliff Asness's AQR Capital Management.
As one would reasonably expect, key hedge funds have jumped into SS and C Technologies Holdings Inc (NASDAQ:SSNC) headfirst. SAC Capital Advisors, managed by Steven Cohen, established the largest position in SS and C Technologies Holdings Inc (NASDAQ:SSNC). SAC Capital Advisors had 0.3 million invested in the company at the end of the quarter. Israel Englander's Millennium Management also made a $0.2 million investment in the stock during the quarter.
Insider trading activity, especially when it's bullish, is best served when the company in question has seen transactions within the past 180 days. Over the last six-month time frame, SS and C Technologies Holdings Inc (NASDAQ:SSNC) has experienced zero unique insiders purchasing, and 4 insider sales (see the details of insider trades here).
Let's also review hedge fund and insider activity in other stocks similar to SS and C Technologies Holdings Inc (NASDAQ:SSNC). These stocks are Convergys Corporation (NYSE:CVG), Aspen Technology, Inc. (NASDAQ:AZPN), Verint Systems Inc. (NASDAQ:VRNT), Guidewire Software Inc (NYSE:GWRE), and Qlik Technologies Inc (NASDAQ:QLIK). This group of stocks are the members of the business software & services industry and their market caps resemble SSNC's market cap.