Apigee Corp (APIC): Are Hedge Funds Right About This Stock?

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Seeing as Apigee Corp (NASDAQ:APIC) has faced a bearish sentiment from the aggregate hedge fund industry, it’s safe to say that there were a few fund managers who were dropping their full holdings heading into Q4. Intriguingly, Benjamin A. Smith’s Laurion Capital Management sold off the largest investment of the “upper crust” of funds monitored by Insider Monkey, worth close to $0.6 million in stock, and Gavin Saitowitz and Cisco J. del Valle’s Springbok Capital was right behind this move, as the fund sold its entire stake of 3,000 shares. These bearish behaviors are interesting, as aggregate hedge fund interest dropped by 1 fund heading into Q4.

Let’s go over hedge fund activity in other stocks similar to Apigee Corp (NASDAQ:APIC). These stocks are Barrett Business Services, Inc. (NASDAQ:BBSI), STAAR Surgical Company (NASDAQ:STAA), KongZhong Corporation(ADR) (NASDAQ:KZ), and Era Group Inc (NYSE:ERA). All of these stocks’ market caps resemble Apigee Corp (NASDAQ:APIC)’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
BBSI 11 14155 1
STAA 6 93913 -2
KZ 4 6337 -3
ERA 11 61754 2

As you can see, these stocks had an average of 8 hedge funds with bullish positions and the average amount invested in these stocks was $44 million. That figure was $42 million in Apigee Corp (NASDAQ:APIC)’s case. Barrett Business Services, Inc. (NASDAQ:BBSI) is the most popular stock in this table. On the other hand, KongZhong Corporation(ADR) (NASDAQ:KZ) is the least popular one with only 4 bullish hedge fund positions. Apigee Corp (NASDAQ:APIC) is not the least popular stock in this group, but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard, Barrett Business Services, Inc. (NASDAQ:BBSI) might be a better candidate to consider a long position.

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