TiVo Inc. (NASDAQ:TIVO) was in 27 hedge funds’ portfolio at the end of March. TIVO shareholders have witnessed a decrease in hedge fund interest of late. There were 30 hedge funds in our database with TIVO positions at the end of the previous quarter.
In the eyes of most market participants, hedge funds are assumed to be worthless, old investment vehicles of years past. While there are greater than 8000 funds with their doors open at the moment, we choose to focus on the masters of this club, about 450 funds. Most estimates calculate that this group oversees most of the smart money’s total asset base, and by watching their best picks, we have spotted a few investment strategies that have historically outpaced the broader indices. Our small-cap hedge fund strategy outstripped the S&P 500 index by 18 percentage points annually 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 outpaced the S&P 500 index by 23.3 percentage points in 8 months (see all of our picks from August).
Just as integral, bullish insider trading sentiment is another way to parse down the world of equities. As the old adage goes: there are lots of stimuli for a bullish insider to drop shares of his or her company, but just one, very clear reason why they would buy. Plenty of academic studies have demonstrated the useful potential of this strategy if investors understand where to look (learn more here).
Now, let’s take a glance at the key action regarding TiVo Inc. (NASDAQ:TIVO).
How have hedgies been trading TiVo Inc. (NASDAQ:TIVO)?
Heading into Q2, a total of 27 of the hedge funds we track were bullish in this stock, a change of -10% from the first quarter. With hedge funds’ capital changing hands, there exists a select group of notable hedge fund managers who were boosting their stakes substantially.
According to our comprehensive database, SAC Capital Advisors, managed by Steven Cohen, holds the largest position in TiVo Inc. (NASDAQ:TIVO). SAC Capital Advisors has a $83.2 million position in the stock, comprising 0.4% of its 13F portfolio. Coming in second is Empire Capital Management, managed by Scott Fine and Peter Richards, which held a $45.5 million position; 4.4% of its 13F portfolio is allocated to the company. Other peers that are bullish include Spencer M. Waxman’s Shannon River Fund Management, Israel Englander’s Millennium Management and SAC Subsidiary’s CR Intrinsic Investors.
Due to the fact that TiVo Inc. (NASDAQ:TIVO) has experienced falling interest from the aggregate hedge fund industry, we can see that there is a sect of money managers who sold off their entire stakes last quarter. It’s worth mentioning that Leon Cooperman’s Omega Advisors dropped the biggest investment of the “upper crust” of funds we watch, worth close to $29.4 million in stock., and Scott Fine and Peter Richards of Empire Capital Management was right behind this move, as the fund cut about $11.9 million worth. These moves are interesting, as aggregate hedge fund interest dropped by 3 funds last quarter.
How are insiders trading TiVo Inc. (NASDAQ:TIVO)?
Insider purchases made by high-level executives is particularly usable when the company in focus has seen transactions within the past 180 days. Over the last six-month time period, TiVo Inc. (NASDAQ:TIVO) has experienced zero unique insiders buying, and 3 insider sales (see the details of insider trades here).
Let’s also review hedge fund and insider activity in other stocks similar to TiVo Inc. (NASDAQ:TIVO). These stocks are Charter Communications, Inc. (NASDAQ:CHTR), AMC Networks Inc (NASDAQ:AMCX), and Cablevision Systems Corporation (NYSE:CVC). This group of stocks are the members of the catv systems industry and their market caps resemble TIVO’s market cap.