Is Liberty Interactive (Interactive group) (NASDAQ:LINTA) a healthy stock for your portfolio? Hedge funds are in a bullish mood. The number of bullish hedge fund bets increased by 3 recently.
In the financial world, there are tons of methods investors can use to analyze their holdings. Some of the most innovative are hedge fund and insider trading movement. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the elite fund managers can outperform the broader indices by a healthy margin (see just how much).
Just as key, positive insider trading activity is a second way to parse down the investments you’re interested in. Just as you’d expect, there are lots of motivations for a corporate insider to drop shares of his or her company, but only one, very clear reason why they would initiate a purchase. Many empirical studies have demonstrated the market-beating potential of this method if you understand where to look (learn more here).
With all of this in mind, we’re going to take a gander at the key action encompassing Liberty Interactive (Interactive group) (NASDAQ:LINTA).
How have hedgies been trading Liberty Interactive (Interactive group) (NASDAQ:LINTA)?
At the end of the fourth quarter, a total of 49 of the hedge funds we track were long in this stock, a change of 7% from the previous quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists a few notable hedge fund managers who were boosting their holdings substantially.
Of the funds we track, Highfields Capital Management, managed by Jonathon Jacobson, holds the biggest position in Liberty Interactive (Interactive group) (NASDAQ:LINTA). Highfields Capital Management has a $165 million billion position in the stock, comprising 1.8% of its 13F portfolio. Sitting at the No. 2 spot is Barry Rosenstein of JANA Partners, with a $140 million position; the fund has 4% of its 13F portfolio invested in the stock. Other hedgies with similar optimism include Steven Cohen’s SAC Capital Advisors, Ken Griffin’s Citadel Investment Group and Michael A. Price and Amos Meron’s Empyrean Capital Partners.
As aggregate interest increased, key money managers were breaking ground themselves. D E Shaw, managed by D. E. Shaw, initiated the most outsized position in Liberty Interactive (Interactive group) (NASDAQ:LINTA). D E Shaw had 31 million invested in the company at the end of the quarter. Stephen J. Errico’s Locust Wood Capital Advisers also initiated a $20 million position during the quarter. The other funds with brand new Linta positions are Malcolm Fairbairn’s Ascend Capital, Bruce Kovner’s Caxton Associates LP, and Daniel S. Och’s OZ Management.
What do corporate executives and insiders think about Liberty Interactive (Interactive group) (NASDAQ:LINTA)?
Insider buying is particularly usable when the company in question has experienced transactions within the past six months. Over the latest half-year time frame, Liberty Interactive (Interactive group) (NASDAQ:LINTA) has experienced zero unique insiders purchasing, and 5 insider sales (see the details of insider trades here).
With the results demonstrated by Insider Monkey’s research, retail investors should always watch hedge fund and insider trading sentiment, and Liberty Interactive (Interactive group) (NASDAQ:LINTA) is an important part of this process.
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