SunOpta, Inc. (USA) (STKL): Insiders Aren’t Crazy About It

Is SunOpta, Inc. (USA) (NASDAQ:STKL) worth your attention right now? Hedge funds are becoming more confident. The number of long hedge fund bets rose by 1 in recent months.

David Shaw

In the 21st century investor’s toolkit, there are many gauges shareholders can use to analyze the equity markets. A couple of the most under-the-radar are hedge fund and insider trading sentiment. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the top fund managers can outclass the market by a healthy margin (see just how much).

Equally as key, bullish insider trading activity is a second way to break down the stock market universe. There are plenty of stimuli for a corporate insider to cut shares of his or her company, but just one, very clear reason why they would buy. Plenty of academic studies have demonstrated the market-beating potential of this strategy if “monkeys” understand what to do (learn more here).

With these “truths” under our belt, let’s take a gander at the key action regarding SunOpta, Inc. (USA) (NASDAQ:STKL).

What does the smart money think about SunOpta, Inc. (USA) (NASDAQ:STKL)?

At the end of the fourth quarter, a total of 7 of the hedge funds we track were bullish in this stock, a change of 17% from one quarter earlier. With hedgies’ capital changing hands, there exists a select group of notable hedge fund managers who were boosting their stakes significantly.

Of the funds we track, D. E. Shaw’s D E Shaw had the most valuable position in SunOpta, Inc. (USA) (NASDAQ:STKL), worth close to $3 million, accounting for less than 0.1%% of its total 13F portfolio. Coming in second is Ardsley Partners, managed by Philip Hempleman, which held a $0.7 million position; 0.1% of its 13F portfolio is allocated to the company. Other hedge funds that hold long positions include Israel Englander’s Millennium Management, Ken Griffin’s Citadel Investment Group and John Overdeck and David Siegel’s Two Sigma Advisors.

Consequently, some big names were breaking ground themselves. Citadel Investment Group, managed by Ken Griffin, initiated the biggest position in SunOpta, Inc. (USA) (NASDAQ:STKL). Citadel Investment Group had 0.4 million invested in the company at the end of the quarter.

What do corporate executives and insiders think about SunOpta, Inc. (USA) (NASDAQ:STKL)?

Insider trading activity, especially when it’s bullish, is most useful when the primary stock in question has seen transactions within the past 180 days. Over the last six-month time period, SunOpta, Inc. (USA) (NASDAQ:STKL) has seen zero unique insiders buying, and 1 insider sales (see the details of insider trades here).

Let’s check out hedge fund and insider activity in other stocks similar to SunOpta, Inc. (USA) (NASDAQ:STKL). These stocks are Farmer Brothers Co. (NASDAQ:FARM), Seneca Foods Corp (NASDAQ:SENEA), Seneca Foods Corp (NASDAQ:SENEB), Boulder Brands Inc (NASDAQ:BDBD), and Diamond Foods, Inc. (NASDAQ:DMND). This group of stocks are the members of the processed & packaged goods industry and their market caps are closest to STKL’s market cap.