Traders are watching crude today after yesterday’s API inventory report showed the largest draw since 1999, down by around 12 million barrels. If today’s EIA report confirms the API numbers, the worries over oversupply in the industry will quickly evaporate.
In addition to crude, traders are also talking about five companies today, Guidewire Software Inc (NYSE:GWRE), Nintendo Co., Ltd (ADR) (OTCMKTS:NTDOY), Juno Therapeutics Inc (NASDAQ:JUNO), Gevo, Inc. (NASDAQ:GEVO), and ABM Industries, Inc. (NYSE:ABM). Let’s take a closer look at the five stocks and see how successful hedge funds have traded them of late.
Our research determined that following the small-cap stocks that hedge funds are collectively bullish on can help a smaller investor to beat the S&P 500 by around 95 basis points per month (see the details here).
Guidewire Software Inc (NYSE:GWRE) is in the red today after reporting fiscal 2016 fourth quarter earnings of $0.39 per share on revenue of $141.17 million. Although the results beat analysts’ estimates by $0.07 per share and $5.08 million, respectively, the company’s fiscal year 2017 guidance of adjusted EPS of $0.69-to-$0.79 on revenue of $471.5 million-to-$483.5 million might have underwhelmed some investors. For fiscal 2016, Guidewire’s total revenue rose by 12% year-over-year to $424.4 million, with license revenue rose by 23% to $219.8 million and service revenue inched lower by 4% to $144.8 million. Jim Simons‘ Renaissance Technologies trimmed its stake in Guidewire Software Inc (NYSE:GWRE) by 38% during the second quarter, to 74,600 shares at the end of June.
Nintendo Co., Ltd (ADR) (OTCMKTS:NTDOY) is in the spotlight after Apple Inc. (NASDAQ:AAPL) included several Nintendo products in its iWatch/iPhone product presentation yesterday. Shares of the notoriously volatile Japanese company surged by 28% on Wednesday on the back of the news that the company will develop Super Mario Run for Apple iOS as well as make the company’s franchise hit Pokemon Go available for the Apple Watch Series. Bulls hope the mobile pivot will pad Nintendo’s bottom-line, which has been lacking over the past few years. None of the 749 hedge funds that we track which filed 13F’s for the June quarter held shares of Nintendo Co., Ltd (ADR) (OTCMKTS:NTDOY) at the end of June.
On the next page, we’ll find out why Juno Therapeutics, Gevo Inc, and ABM Industries are trending this morning.