This Metric Says You Are Smart to Sell The Wendy’s Company (WEN)

Page 1 of 2

Is The Wendy’s Company (NASDAQ:WEN) an exceptional stock to buy now? Money managers are getting less bullish. The number of long hedge fund bets decreased by 1 recently.

At the moment, there are a multitude of indicators market participants can use to track the equity markets. A couple of the most innovative are hedge fund and insider trading activity. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the best fund managers can trounce the broader indices by a very impressive amount (see just how much).

The Wendy's Co (NASDAQ:WEN)Just as integral, bullish insider trading sentiment is a second way to parse down the marketplace. Just as you’d expect, there are a number of motivations for a bullish insider to downsize shares of his or her company, but just one, very simple reason why they would initiate a purchase. Various academic studies have demonstrated the valuable potential of this strategy if “monkeys” understand what to do (learn more here).

Keeping this in mind, we’re going to take a glance at the latest action surrounding The Wendy’s Company (NASDAQ:WEN).

How have hedgies been trading The Wendy’s Company (NASDAQ:WEN)?

Heading into Q2, a total of 15 of the hedge funds we track were long in this stock, a change of -6% from the first quarter.

Seeing as The Wendy’s Company (NASDAQ:WEN) has experienced a declination in interest from the aggregate hedge fund industry, it’s safe to say that there exists a select few fund managers that slashed their full holdings in Q1. Intriguingly, Murray Stahl’s Horizon Asset Management dropped the biggest stake of the 450+ funds we key on, comprising about $60.6 million in stock.. Cliff Asness’s fund, AQR Capital Management, also dumped its stock, about $1.2 million worth. These moves are intriguing to say the least, as aggregate hedge fund interest fell by 1 funds in Q1.

How have insiders been trading The Wendy’s Company (NASDAQ:WEN)?

Insider buying is most useful when the primary stock in question has seen transactions within the past six months. Over the last 180-day time frame, The Wendy’s Company (NASDAQ:WEN) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).

Let’s check out hedge fund and insider activity in other stocks similar to The Wendy’s Company (NASDAQ:WEN). These stocks are Arcos Dorados Holding Inc (NYSE:ARCO), Brinker International, Inc. (NYSE:EAT), Cracker Barrel Old Country Store, Inc. (NASDAQ:CBRL), The Cheesecake Factory Incorporated (NASDAQ:CAKE), and Bloomin’ Brands Inc (NASDAQ:BLMN). This group of stocks are in the restaurants industry and their market caps are closest to WEN’s market cap.

Page 1 of 2
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 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

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations 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 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!