Is POZEN Inc. (NASDAQ:POZN) a buy, sell, or hold? The best stock pickers are becoming less confident. The number of long hedge fund positions stayed the same which is a slightly negative development in our experience.
In the 21st century investor’s toolkit, there are tons of gauges investors can use to monitor the equity markets. Some of the most innovative are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the elite money managers can outperform the market by a significant margin (see just how much).
Equally as beneficial, positive insider trading sentiment is a second way to parse down the stock market universe. As the old adage goes: there are a number of stimuli for a bullish insider to drop shares of his or her company, but only one, very obvious reason why they would initiate a purchase. Various academic studies have demonstrated the useful potential of this strategy if “monkeys” understand what to do (learn more here).
With all of this in mind, let’s take a look at the key action surrounding POZEN Inc. (NASDAQ:POZN).
How are hedge funds trading POZEN Inc. (NASDAQ:POZN)?
At year’s end, a total of 8 of the hedge funds we track held long positions in this stock, a change of 0% from the third quarter. With hedge funds’ capital changing hands, there exists a select group of notable hedge fund managers who were upping their holdings considerably.
Of the funds we track, Paul Reeder and Edward Shapiro’s PAR Capital Management had the largest position in POZEN Inc. (NASDAQ:POZN), worth close to $11.9 million, accounting for 0.5% of its total 13F portfolio. The second largest stake is held by Cliff Asness of AQR Capital Management, with a $1 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Some other hedgies that are bullish include D. E. Shaw’s D E Shaw, Peter Algert and Kevin Coldiron’s Algert Coldiron Investors and Israel Englander’s Millennium Management.
What have insiders been doing with POZEN Inc. (NASDAQ:POZN)?
Insider buying is particularly usable when the primary stock in question has seen transactions within the past 180 days. Over the latest six-month time period, POZEN Inc. (NASDAQ:POZN) has experienced zero unique insiders buying, and 1 insider sales (see the details of insider trades here).
Let’s check out hedge fund and insider activity in other stocks similar to POZEN Inc. (NASDAQ:POZN). These stocks are Gentium S.p.A. (ADR) (NASDAQ:GENT), MEI Pharma Inc (NASDAQ:MEIP), DURECT Corporation (NASDAQ:DRRX), and Pernix Therapeutics Holdings Inc (NASDAQ:PTX). This group of stocks are the members of the drug manufacturers – other industry and their market caps are closest to POZN’s market cap.
|Company Name||# of Hedge Funds||# of Insiders Buying||# of Insiders Selling|
|Gentium S.p.A. (ADR) (NASDAQ:GENT)||1||0||0|
|MEI Pharma Inc (NASDAQ:MEIP)||2||1||1|
|DURECT Corporation (NASDAQ:DRRX)||5||2||0|
|Pernix Therapeutics Holdings Inc (NASDAQ:PTX)||4||0||1|
With the returns shown by the aforementioned time-tested strategies, retail investors must always monitor hedge fund and insider trading sentiment, and POZEN Inc. (NASDAQ:POZN) applies perfectly to this mantra.