OGE Energy Corp. (NYSE:OGE) has seen a decrease in hedge fund interest lately.
There are many indicators investors can use to analyze the equity markets, but a couple of the most underrated are hedgie and insider trading sentiment. See, at Insider Monkey, our research has shown that, historically, those who follow the best picks of the best fund managers can beat the market by a significant market (see just how much).
Equally as important, bullish insider trading activity is a second way to parse down the stock universe. As the old adage goes: there are many reasons for a corporate insider to sell shares of his or her company, but only one, very clear reason why they would buy. Countless academic studies have demonstrated the market-beating potential of this strategy if you know where to look (learn more here).
With all of this in mind, we’re going to take a look at the recent action surrounding OGE Energy.
Hedge fund activity: At the end of the fourth quarter, a total of 11 hedge funds held long positions in this stock, a change of -27% from the previous quarter. With hedge funds’ sentiment swirling, some notable managers were upping their stakes considerably.
Dmitry Balyasny increased his stake by a total of 122%, the largest of the funds we track.
All in all, Balyasny also held the largest position in OGE Energy Corp. (NYSE:OGE), ahead of peers Israel Englander, the duo of Phill Gross and Robert Atchinson, and Charles Clough.
Insider trading activity: Since the beginning of 2012, the company has seen one insider purchase and 18 insider sales.
The latest insider purchase we have on record is a buy of 1,000 shares at an average price of $54.40 a piece. H. James Brandi made this transaction, and now holds 4,000 shares after the move.
The most recent insider sale came with V. Reid Nuttall’s transaction of 1,820 shares at an average price of $54.46.
With the results demonstrated by our time-tested strategies, retail investors should always pay attention to hedge fund and insider trading activity, and this time is no different.
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