This Metric Says You Are Smart to Buy SeaChange International (SEAC)

Page 1 of 2

To the average investor, there are dozens of indicators shareholders can use to watch stocks. A pair of the most useful are hedge fund and insider trading activity. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the best hedge fund managers can outclass the market by a significant amount (see just how much).

SeaChange International (NASDAQ:SEAC)

Equally as crucial, bullish insider trading sentiment is another way to analyze the investments you’re interested in. Obviously, there are a variety of reasons for a bullish insider to get rid of shares of his or her company, but just one, very obvious reason why they would buy. Many academic studies have demonstrated the useful potential of this method if piggybackers understand what to do (learn more here).

Now that that’s out of the way, let’s analyze the recent info for SeaChange International (NASDAQ:SEAC).

How are hedge funds trading SeaChange International (NASDAQ:SEAC)?

At the end of the second quarter, a total of 15 of the hedge funds we track held long positions in this stock, a change of 15% from one quarter earlier. With the smart money’s capital changing hands, there exists an “upper tier” of key hedge fund managers who were increasing their stakes significantly.

According to our 13F database, Jeffrey Smith’s Starboard Value LP had the biggest position in SeaChange International (NASDAQ:SEAC), worth close to $30.1 million, comprising 2.1% of its total 13F portfolio. The second largest stake is held by Roumell Asset Management, managed by Jim Roumell, which held a $10.4 million position; 7.1% of its 13F portfolio is allocated to the company. Other peers that hold long positions include Jason F. Harris’s Kendall Square Capital, Robert B. Gillam’s McKinley Capital Management and John Zaro’s Bourgeon Capital.

As aggregate interest spiked, certain bigger names have jumped into SeaChange International (NASDAQ:SEAC) headfirst. Starboard Value LP, managed by Jeffrey Smith, established the largest position in SeaChange International (NASDAQ:SEAC). Starboard Value LP had 30.1 million invested in the company at the end of the quarter. Jim Roumell’s Roumell Asset Management also initiated a $10.4 million position during the quarter. The other funds with brand new SEAC positions are Jason F. Harris’s Kendall Square Capital, Robert B. Gillam’s McKinley Capital Management, and John Zaro’s Bourgeon Capital.

How are insiders trading SeaChange International (NASDAQ:SEAC)?

Insider buying made by high-level executives is at its handiest when the company in focus has experienced transactions within the past half-year. Over the last six-month time frame, SeaChange International (NASDAQ:SEAC) has experienced zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).

We’ll also take a look at the relationship between both of these indicators in other stocks similar to SeaChange International (NASDAQ:SEAC). These stocks are Responsys Inc (NASDAQ:MKTG), Incontact Inc (NASDAQ:SAAS), NQ Mobile Inc (ADR) (NYSE:NQ), ePlus Inc. (NASDAQ:PLUS), and Qualys Inc (NASDAQ:QLYS). This group of stocks belong to the application software industry and their market caps are closest to SEAC’s market cap.

Page 1 of 2

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

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 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!