This Metric Says You Are Smart to Buy NuVasive, Inc. (NASDAQ:NUVA)

NuVasive, Inc. (NASDAQ:NUVA) was in 20 hedge funds’ portfolio at the end of December. NUVA has seen an increase in hedge fund sentiment lately. There were 19 hedge funds in our database with NUVA holdings at the end of the previous quarter.

To the average investor, there are dozens of indicators investors can use to track stocks. A duo of the most useful are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the top fund managers can beat the market by a significant amount (see just how much).

NuVasive, Inc. (NASDAQ:NUVA)

Equally as beneficial, positive insider trading sentiment is another way to parse down the marketplace. As the old adage goes: there are many incentives for an insider to downsize shares of his or her company, but just one, very obvious reason why they would initiate a purchase. Plenty of academic studies have demonstrated the useful potential of this tactic if piggybackers understand where to look (learn more here).

With all of this in mind, we’re going to take a look at the recent action surrounding NuVasive, Inc. (NASDAQ:NUVA).

What does the smart money think about NuVasive, Inc. (NASDAQ:NUVA)?

In preparation for this year, a total of 20 of the hedge funds we track were long in this stock, a change of 5% from the third quarter. With hedge funds’ sentiment swirling, there exists a few key hedge fund managers who were boosting their holdings meaningfully.

When looking at the hedgies we track, Deerfield Management, managed by James E. Flynn, holds the most valuable position in NuVasive, Inc. (NASDAQ:NUVA). Deerfield Management has a $29 million position in the stock, comprising 1.6% of its 13F portfolio. Sitting at the No. 2 spot is CR Intrinsic Investors, managed by SAC Subsidiary, which held a $10 million position; the fund has 0.4% of its 13F portfolio invested in the stock. Remaining hedge funds with similar optimism include Steven Cohen’s SAC Capital Advisors, Ken Fisher’s Fisher Asset Management and Cliff Asness’s AQR Capital Management.

With a general bullishness amongst the heavyweights, some big names were breaking ground themselves. Deerfield Management, managed by James E. Flynn, created the biggest position in NuVasive, Inc. (NASDAQ:NUVA). Deerfield Management had 29 million invested in the company at the end of the quarter. SAC Subsidiary’s CR Intrinsic Investors also made a $10 million investment in the stock during the quarter. The other funds with brand new NUVA positions are Kevin Kotler’s Broadfin Capital, Joseph A. Jolson’s Harvest Capital Strategies, and Joel Greenblatt’s Gotham Asset Management.

Insider trading activity in NuVasive, Inc. (NASDAQ:NUVA)

Bullish insider trading is at its handiest when the company in question has experienced transactions within the past six months. Over the latest 180-day time frame, NuVasive, Inc. (NASDAQ:NUVA) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).

With the returns exhibited by the aforementioned research, retail investors should always keep an eye on hedge fund and insider trading sentiment, and NuVasive, Inc. (NASDAQ:NUVA) applies perfectly to this mantra.

Click here to learn more about Insider Monkey’s Hedge Fund Newsletter

Insider Monkey’s small-cap strategy returned 29.2% between September 2012 and February 2013 versus 8.7% for the S&P 500 index. Try it now by clicking the link above.

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

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

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!