Millennial Media, Inc. (NYSE:MM) has seen an increase in hedge fund sentiment lately.
To the average investor, there are a multitude of gauges shareholders can use to monitor stocks. Some of the most useful are hedge fund and insider trading movement. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the elite investment managers can beat their index-focused peers by a healthy margin (see just how much).
Just as key, optimistic insider trading sentiment is a second way to parse down the marketplace. As the old adage goes: there are a number of stimuli for a corporate insider to cut shares of his or her company, but only one, very clear reason why they would initiate a purchase. Plenty of empirical studies have demonstrated the market-beating potential of this tactic if investors know what to do (learn more here).
Now, let’s take a glance at the key action encompassing Millennial Media, Inc. (NYSE:MM).
What have hedge funds been doing with Millennial Media, Inc. (NYSE:MM)?
At the end of the fourth quarter, a total of 14 of the hedge funds we track were long in this stock, a change of 27% from the previous quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists an “upper tier” of key hedge fund managers who were upping their stakes considerably.
According to our comprehensive database, Columbus Circle Investors, managed by Donald Chiboucis, holds the most valuable position in Millennial Media, Inc. (NYSE:MM). Columbus Circle Investors has a $20.5 million position in the stock, comprising 0.2% of its 13F portfolio. Sitting at the No. 2 spot is Highside Capital Management, managed by Lee Hobson, which held a $12.2 million position; 1.3% of its 13F portfolio is allocated to the stock. Some other hedgies that hold long positions include Drew Cupps’s Cupps Capital Management, SAC Subsidiary’s CR Intrinsic Investors and Israel Englander’s Millennium Management.
As aggregate interest increased, key hedge funds were leading the bulls’ herd. Highside Capital Management, managed by Lee Hobson, assembled the largest position in Millennial Media, Inc. (NYSE:MM). Highside Capital Management had 12.2 million invested in the company at the end of the quarter. Anand Parekh’s Alyeska Investment Group also initiated a $3.8 million position during the quarter. The other funds with new positions in the stock are Andrew Sandler’s Sandler Capital Management, James Crichton and Adam Weiss’s Scout Capital Management, and Jeffrey Vinik’s Vinik Asset Management.
Insider trading activity in Millennial Media, Inc. (NYSE:MM)
Insider trading activity, especially when it’s bullish, is particularly usable when the company in question has seen transactions within the past half-year. Over the latest 180-day time period, Millennial Media, Inc. (NYSE:MM) has seen zero unique insiders buying, and 25 insider sales (see the details of insider trades here).
Let’s check out hedge fund and insider activity in other stocks similar to Millennial Media, Inc. (NYSE:MM). These stocks are Valassis Communications, Inc. (NYSE:VCI), National CineMedia, Inc. (NASDAQ:NCMI), Constant Contact Inc (NASDAQ:CTCT), Harte-Hanks, Inc. (NYSE:HHS), and MDC Partners Inc. (USA) (NASDAQ:MDCA). This group of stocks belong to the marketing services industry and their market caps match MM’s market cap.