Winnebago Industries, Inc. (WGO): Are Hedge Funds Right About This Stock?: Polaris Industries Inc. (PII), Thor Industries, Inc. (THO)

Is Winnebago Industries, Inc. (NYSE:WGO) the right pick for your portfolio? The smart money is in a bearish mood. The number of bullish hedge fund bets stayed the same which is a slightly negative development in our experience

Winnebago Industries, Inc. (NYSE:WGO)

To most shareholders, hedge funds are assumed to be slow, outdated financial tools of years past. While there are over 8000 funds with their doors open today, we choose to focus on the leaders of this group, close to 450 funds. It is estimated that this group has its hands on the lion’s share of the hedge fund industry’s total asset base, and by paying attention to their best stock picks, we have unearthed a few investment strategies that have historically outpaced the broader indices. Our small-cap hedge fund strategy outstripped the S&P 500 index by 18 percentage points a year for a decade in our back tests, and since we’ve started sharing our picks with our subscribers at the end of August 2012, we have outperformed the S&P 500 index by 24 percentage points in 7 months (check out a sample of our picks).

Equally as beneficial, positive insider trading sentiment is another way to break down the stock market universe. There are lots of stimuli for an upper level exec to cut 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 impressive potential of this method if investors know what to do (learn more here).

Keeping this in mind, it’s important to take a gander at the latest action encompassing Winnebago Industries, Inc. (NYSE:WGO).

What does the smart money think about Winnebago Industries, Inc. (NYSE:WGO)?

At year’s end, a total of 12 of the hedge funds we track were long in this stock, a change of 0% from one quarter earlier. With hedge funds’ positions undergoing their usual ebb and flow, there exists a few notable hedge fund managers who were boosting their stakes significantly.

When looking at the hedgies we track, Chuck Royce’s Royce & Associates had the most valuable position in Winnebago Industries, Inc. (NYSE:WGO), worth close to $38 million, comprising 0.1% of its total 13F portfolio. Sitting at the No. 2 spot is Jeffrey Vinik of Vinik Asset Management, with a $9 million position; 0.2% of its 13F portfolio is allocated to the stock. Remaining hedgies with similar optimism include Jeffrey Gendell’s Tontine Asset Management, Thomas E. Claugus’s GMT Capital and Ken Griffin’s Citadel Investment Group.

Due to the fact that Winnebago Industries, Inc. (NYSE:WGO) has experienced a declination in interest from the aggregate hedge fund industry, it’s safe to say that there was a specific group of hedge funds who were dropping their full holdings last quarter. At the top of the heap, Ken Grossman and Glen Schneider’s SG Capital Management dumped the biggest investment of the “upper crust” of funds we key on, totaling an estimated $5 million in stock.. Joel Greenblatt’s fund, Gotham Asset Management, also sold off its stock, about $1 million worth. These moves are intriguing to say the least, as aggregate hedge fund interest stayed the same (this is a bearish signal in our experience).

What have insiders been doing with Winnebago Industries, Inc. (NYSE:WGO)?

Bullish insider trading is most useful when the company in focus has experienced transactions within the past six months. Over the latest half-year time frame, Winnebago Industries, Inc. (NYSE:WGO) has experienced 2 unique insiders buying, and zero insider sales (see the details of insider trades here).

Let’s also review hedge fund and insider activity in other stocks similar to Winnebago Industries, Inc. (NYSE:WGO). These stocks are Polaris Industries Inc. (NYSE:PII), Thor Industries, Inc. (NYSE:THO), Drew Industries, Inc. (NYSE:DW), Federal Signal Corporation (NYSE:FSS), and Arctic Cat Inc (NASDAQ:ACAT). This group of stocks are the members of the recreational vehicles industry and their market caps are similar to WGO’s market cap.

Company Name # of Hedge Funds # of Insiders Buying # of Insiders Selling
Polaris Industries Inc. (NYSE:PII) 26 0 11
Thor Industries, Inc. (NYSE:THO) 15 1 1
Drew Industries, Inc. (NYSE:DW) 10 0 9
Federal Signal Corporation (NYSE:FSS) 9 1 0
Arctic Cat Inc (NASDAQ:ACAT) 13 2 3

With the results demonstrated by our time-tested strategies, retail investors should always watch hedge fund and insider trading sentiment, and Winnebago Industries, Inc. (NYSE:WGO) applies perfectly to this mantra.

Click here to learn why you should track hedge funds

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

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

Top 6 Cities For The Ultra Rich to Live in Comfort

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

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!