What Hedge Funds and Insiders Think About EMC Corporation (EMC)

Page 1 of 2

EMC Corporation (NYSE:EMC) has witnessed stagnant interest from the smart money of late, and Mr. Market has been the same, as the stock is up only 1.5% year-to-date. Who’s at least partially responsible for the mediocracy?

In today’s marketplace, there are many gauges shareholders can use to monitor the equity markets. A duo of the most useful are hedge fund and insider trading sentiment. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the best money managers can beat the market by a significant margin (see just how much).

Equally as useful, optimistic insider trading sentiment is a second way to look at the investments you’re interested in. Just as you’d expect, there are a variety of motivations for a corporate insider to sell shares of his or her company, but just one, very obvious reason why they would initiate a purchase. Plenty of empirical studies have demonstrated the valuable potential of this strategy if you know where to look (learn more here).

Now that that’s out of the way, it’s important to examine the recent info surrounding EMC Corporation (NYSE:EMC).

How have hedgies been trading EMC Corporation (NYSE:EMC)?

At Q2′s end, a total of 59 of the hedge funds we track were bullish in this stock, a change of 0% from the first quarter. With hedgies’ sentiment swirling, there exists a few key hedge fund managers who were increasing their stakes substantially.

EMC Corporation (NYSE:EMC)According to our 13F database, David Costen Haley’s HBK Investments had the largest position in EMC Corporation (NYSE:EMC), worth close to $413.2 million, comprising 7% of its total 13F portfolio. On HBK Investments’s heels is Cadian Capital, managed by Eric Bannasch, which held a $233.4 million position; 7.2% of its 13F portfolio is allocated to the stock. Remaining peers that are bullish include Andrew J. M. Spokes’s Farallon Capital, D. E. Shaw’s D E Shaw and Bill Miller’s Legg Mason Capital Management.

Because EMC Corporation (NYSE:EMC) has witnessed a fall in interest from upper-tier hedge fund managers, we can see that there was a specific group of money managers that slashed their full holdings at the end of the second quarter. Intriguingly, Doug Silverman and Alexander Klabin’s Senator Investment Group dropped the largest stake of all the hedgies we track, valued at about $119.5 million in stock. Panayotis æTakisÆ Sparaggis’s fund, Alkeon Capital Management, also dumped its stock, about $95.8 million worth. These transactions are important to note, as total hedge fund interest stayed the same (this is a bearish signal in our experience).

What do corporate executives and insiders think about EMC Corporation (NYSE:EMC)?

Bullish insider trading is at its handiest when the company in focus has seen transactions within the past six months. Over the latest 180-day time frame, EMC Corporation (NYSE:EMC) has seen zero unique insiders buying, and 12 insider sales (see the details of insider trades here).

We’ll check out the relationship between both of these indicators in other stocks similar to EMC Corporation (NYSE:EMC). These stocks are Brocade Communications Systems, Inc. (NASDAQ:BRCD), Western Digital Corp. (NASDAQ:WDC), NetApp Inc. (NASDAQ:NTAP), Seagate Technology PLC (NASDAQ:STX), and SanDisk Corporation (NASDAQ:SNDK). This group of stocks belong to the data storage devices industry and their market caps match EMC’s market cap.

Page 1 of 2
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 Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top Businesses to Invest In

Top 5 Things You Might Be Doing Wrong With Your Business

Top 5 Strategic Technology Trends in 2014

Top Rags to Riches Stories

Parenting Behavior That Promotes Future Leaders

Top 5 Mistakes Made by Small Businesses

Top 5 Most Common and Potentially Devastating Financial Blunders

Top 5 Highest Paying Jobs for Web Designers

Top 6 Most Respected Professions that Also Pay Well

Top 5 Pitfalls Investors Should Avoid

Top 6 Lawyers and Policy Makers Under 30

Top 6 New Year’s Resolutions for Entrepreneurs

Top 7 Locations to Check in on Facebook

Top 5 Mistakes made by Rookie eBay Sellers

Top 7 eBook Publishers in 2013

Top 6 Health Industry Trends in 2014

5 Lessons for Entrepreneurs from Seth Godin

Top 5 Success Tips from Jordan Belfort – the Wolf of Wall Street

Best Master’s in Finance Degree Programs

Top 6 Earning Celebrities Over 50

The most expensive sports to play

Top 7 Earning Celebrities Under 25

Best 7 Online Courses to Take: Free Finance MOOCs

Top 6 Bad Habits that Promote Failure

20 Most Valuable Soccer Teams in the World in 2013

12 Most Expensive Countries for Foreign Students

Top 30 Most Influential Women in the World

Top 20 Most Expensive New Year Eve Shows

Top 5 Best Vocational Careers

Top 10 Jobs for 2014 by Salary Gain (Predictions)

Top 5 Digital Trends for 2014

Top 6 Things You Can Do To Increase Your Productivity

Top 9 Trending Smartphones in 2013

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!