Should Oil States International, Inc. (NYSE:OIS) investors track the following data?
To many of your peers, hedge funds are assumed to be overrated, outdated financial vehicles of an era lost to time. Although there are In excess of 8,000 hedge funds in operation today, Insider Monkey looks at the top tier of this group, close to 525 funds. It is widely held that this group has its hands on the majority of the smart money’s total assets, and by monitoring their best equity investments, we’ve brought to light a number of investment strategies that have historically outpaced Mr. Market. Our small-cap hedge fund strategy outstripped the S&P 500 index by 18 percentage points per annum for a decade in our back tests, and since we’ve began to sharing our picks with our subscribers at the end of August 2012, we have outperformed the S&P 500 index by 33 percentage points in 11 months (find the details here).
Equally as key, positive insider trading sentiment is a second way to look at the investments you’re interested in. Obviously, there are a variety of stimuli for an executive to drop shares of his or her company, but only one, very clear reason why they would buy. Many empirical studies have demonstrated the impressive potential of this tactic if shareholders understand where to look (learn more here).
Furthermore, it’s important to study the newest info about Oil States International, Inc. (NYSE:OIS).
What does the smart money think about Oil States International, Inc. (NYSE:OIS)?
At Q2’s end, a total of 35 of the hedge funds we track were long in this stock, a change of 75% from one quarter earlier. With hedge funds’ sentiment swirling, there exists a select group of noteworthy hedge fund managers who were boosting their holdings substantially.
According to our 13F database, JANA Partners, managed by Barry Rosenstein, holds the most valuable position in Oil States International, Inc. (NYSE:OIS). JANA Partners has a $487.5 million position in the stock, comprising 6.9% of its 13F portfolio. The second largest stake is held by David Einhorn of Greenlight Capital, with a $250.1 million position; the fund has 4.7% of its 13F portfolio invested in the stock. Some other peers with similar optimism include Chuck Royce’s Royce & Associates, Alexander Roepers’s Atlantic Investment Management and Alec Litowitz and Ross Laser’s Magnetar Capital.
As aggregate interest spiked, certain bigger names were leading the bulls’ herd. JANA Partners, managed by Barry Rosenstein, created the largest position in Oil States International, Inc. (NYSE:OIS). JANA Partners had 487.5 million invested in the company at the end of the quarter. David Einhorn’s Greenlight Capital also initiated a $250.1 million position during the quarter. The other funds with brand new OIS positions are Chuck Royce’s Royce & Associates, Alexander Roepers’s Atlantic Investment Management, and Alec Litowitz and Ross Laser’s Magnetar Capital.
How are insiders trading Oil States International, Inc. (NYSE:OIS)?
Insider buying made by high-level executives is best served when the company in focus has experienced transactions within the past half-year. Over the last 180-day time period, Oil States International, Inc. (NYSE:OIS) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We’ll also examine the relationship between both of these indicators in other stocks similar to Oil States International, Inc. (NYSE:OIS). These stocks are Core Laboratories N.V. (NYSE:CLB), RPC, Inc. (NYSE:RES), Dril-Quip, Inc. (NYSE:DRQ), Superior Energy Services, Inc. (NYSE:SPN), and MDU Resources Group Inc (NYSE:MDU). This group of stocks are the members of the oil & gas equipment & services industry and their market caps are closest to OIS’s market cap.
|Company Name||# of Hedge Funds||# of Insiders Buying||# of Insiders Selling|
|Core Laboratories N.V. (NYSE:CLB)||11||0||0|
|RPC, Inc. (NYSE:RES)||13||0||0|
|Dril-Quip, Inc. (NYSE:DRQ)||19||0||0|
|Superior Energy Services, Inc. (NYSE:SPN)||24||0||0|
|MDU Resources Group Inc (NYSE:MDU)||9||0||0|
Using the returns shown by our analyses, average investors should always pay attention to hedge fund and insider trading activity, and Oil States International, Inc. (NYSE:OIS) applies perfectly to this mantra.