This Metric Says You Are Smart to Sell Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR)

Is Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR) a buy here? Hedge funds are in a bearish mood. The number of long hedge fund bets decreased by 3 lately.

In the 21st century investor’s toolkit, there are dozens of methods market participants can use to track stocks. A pair of the most useful are hedge fund and insider trading sentiment. At Insider Monkey, our studies have shown that, historically, those who follow the top picks of the best fund managers can outclass their index-focused peers by a superb amount (see just how much).

Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR)Equally as beneficial, bullish insider trading sentiment is another way to break down the stock market universe. Obviously, there are lots of stimuli for an executive to cut shares of his or her company, but just one, very simple reason why they would behave bullishly. Various empirical studies have demonstrated the market-beating potential of this tactic if “monkeys” know where to look (learn more here).

Keeping this in mind, we’re going to take a look at the key action encompassing Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR).

What does the smart money think about Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR)?

Heading into 2013, a total of 20 of the hedge funds we track were bullish in this stock, a change of -13% from the third quarter. With the smart money’s sentiment swirling, there exists a few key hedge fund managers who were increasing their holdings significantly.

Of the funds we track, D E Shaw, managed by D. E. Shaw, holds the most valuable position in Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR). D E Shaw has a $79 million position in the stock, comprising 0.2% of its 13F portfolio. Sitting at the No. 2 spot is Tremblant Capital, managed by Brett Barakett, which held a $69 million position; 1.4% of its 13F portfolio is allocated to the stock. Other peers with similar optimism include Robert Pitts’s Steadfast Capital Management, and Edward Goodnow’s Goodnow Investment Group.

Due to the fact that Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR) has experienced falling interest from hedge fund managers, logic holds that there is a sect of funds that decided to sell off their entire stakes last quarter. Intriguingly, Dinakar Singh’s TPG-AXON Management LP said goodbye to the largest stake of the 450+ funds we track, comprising about $60 million in stock.. Patrick McCormack’s fund, Tiger Consumer Management, also sold off its stock, about $48 million worth. These bearish behaviors are intriguing to say the least, as aggregate hedge fund interest fell by 3 funds last quarter.

How are insiders trading Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR)?

Insider buying is most useful when the primary stock in question has seen transactions within the past half-year. Over the last 180-day time frame, Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR) has seen zero unique insiders buying, and 3 insider sales (see the details of insider trades here).

With the results exhibited by Insider Monkey’s time-tested strategies, everyday investors must always watch hedge fund and insider trading activity, and Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR) is an important part of this process.

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.

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

The World’s Most Famous Circuses

Best Hair Stylists

Most Popular NASCAR Drivers

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

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

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!