In the financial world, there are plenty of metrics shareholders can use to watch Mr. Market. Some of the most under-the-radar are hedge fund and insider trading sentiment. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the top fund managers can outperform their index-focused peers by a significant margin (see just how much).
Just as key, bullish insider trading sentiment is another way to break down the investments you’re interested in. There are many reasons for an upper level exec to downsize shares of his or her company, but only one, very clear reason why they would initiate a purchase. Plenty of empirical studies have demonstrated the market-beating potential of this method if investors understand what to do (learn more here).
With all of this in mind, let’s take a peek at the key action surrounding Extreme Networks, Inc (NASDAQ:EXTR).
How have hedgies been trading Extreme Networks, Inc (NASDAQ:EXTR)?
At the end of the first quarter, a total of 15 of the hedge funds we track were bullish in this stock, a change of 7% from one quarter earlier. With hedgies’ positions undergoing their usual ebb and flow, there exists a few key hedge fund managers who were boosting their stakes considerably.
According to our comprehensive database, George Soros’s Soros Fund Management had the largest position in Extreme Networks, Inc (NASDAQ:EXTR), worth close to $31.1 million, comprising 0.4% of its total 13F portfolio. The second largest stake is held by Starboard Value LP, managed by Jeffrey Smith, which held a $29.6 million position; 2.7% of its 13F portfolio is allocated to the stock. Some other peers that are bullish include Brett Hendrickson’s Nokomis Capital, Jim Simons’s Renaissance Technologies and Spencer M. Waxman’s Shannon River Fund Management.
As industrywide interest jumped, key hedge funds have jumped into Extreme Networks, Inc (NASDAQ:EXTR) headfirst. Bryn Mawr Capital, managed by Ken Gray and Steve Walsh, established the biggest position in Extreme Networks, Inc (NASDAQ:EXTR). Bryn Mawr Capital had 0.3 million invested in the company at the end of the quarter. Glenn Russell Dubin’s Highbridge Capital Management also made a $0.2 million investment in the stock during the quarter.
How are insiders trading Extreme Networks, Inc (NASDAQ:EXTR)?
Bullish insider trading is at its handiest when the primary stock in question has experienced transactions within the past half-year. Over the last six-month time period, Extreme Networks, Inc (NASDAQ:EXTR) has seen zero unique insiders purchasing, and 5 insider sales (see the details of insider trades here).
With the results shown by Insider Monkey’s time-tested strategies, retail investors must always pay attention to hedge fund and insider trading sentiment, and Extreme Networks, Inc (NASDAQ:EXTR) applies perfectly to this mantra.
