TriNet Group Inc (TNET) Plunges on Weak Financial Results; Should Investors Go Short or Enter the Stock?

According to Insider Monkey’s hedge fund database, Chase Coleman‘s Tiger Global Management held the largest position in TriNet Group Inc (NYSE:TNET), with around 2.3 million shares valued at $81.7 million by the end of March. On Tiger Global Management’s heels is Jonathan Auerbach‘s Hound Partners with around 2.2 million shares worth $75.6 million. Other hedge funds with long positions include, Alok Agarwal’s Bloom Tree Partners, Michael R. Weisberg’s Crestwood Capital Management and Matthew A. Weatherbie’s Weatherbie Capital.

There was mixed action from hedge funds involving TriNet Group Inc (NYSE:TNET) as some hedge fund managers opted to dump their positions, whereas few others initiated new stake. The aforementioned Tiger Global Management and Jonathan Auerbach’s Hound Partners initiated new stakes, while David Gallo‘s Valinor Management sold off its entire stake of 2.3 million shares during the first three months of the year.

Being bearish on the stock seems to be a good decision as the stock has plunged by more than 50% since the beginning of May, including today’s depreciation. Considering the TriNet Group Inc (NYSE:TNET)’s disappointing second quarter earnings followed by a 40% drop in the stock value, we don’t recommend to buy this stock despite some hedge funds bullish behavior.

Disclosure: None