Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Why Yahoo, LendingClub, and Three Other Stocks Are Turning Heads Today

It’s been a positive day on Wall Street thus far ahead of the opening bell, as all three index futures are in the green and crude futures are now at $51 per barrel in the pre-market. Traders appear to be hopeful that tomorrow’s jobless claims release and next week’s FOMC meeting will placate fears that the U.S economy might hit a rough patch soon. Among the stocks that are buzzing today are Yahoo! Inc. (NASDAQ:YHOO), VeriFone Systems Inc (NYSE:PAY), LendingClub Corp (NYSE:LC), Gevo, Inc. (NASDAQ:GEVO), and Skullcandy Inc (NASDAQ:SKUL). Let’s take a closer look at each stock and see how elite funds are positioned in them.

Through extensive research, we determined that imitating some of the picks of hedge funds and other institutional investors can help generate market-beating returns over the long run. The key is to focus on the small-cap picks of these investors, since they are usually less followed by the broader market and are less price-efficient. Our backtests that covered the period between 1999 and 2012, showed that following the 15 most popular small-caps among hedge funds can help a retail investor beat the market by an average of 95 basis points per month (see the details here).

Yahoo! Inc. (NASDAQ:YHOO), Homepage, Search, Screen, website, browser, mac,


Yahoo! Willing to Sell Patents 

According to the Wall Street Journal, Yahoo! Inc. (NASDAQ:YHOO) is auctioning off its portfolio of around 3,000 patents. Some of the patents concern e-commerce, search technology, and ad-matching that might be useful to Microsoft Corporation (NASDAQ:MSFT) or Alphabet Inc (NASDAQ:GOOG). Other patents could be attractive to private equity funds. Analysts expect the patents to garner more than $1 billion when all is said and done. Yahoo! Inc. (NASDAQ:YHOO) is selling off its core internet business and patents to unlock shareholder value. The market hasn’t assigned Yahoo’s core internet business much of a valuation, so a sale will force the market to do so. Of the 766 elite funds in our database, 97 owned shares of Yahoo at the end of the first quarter, up from 84 at the end of 2015.

Follow Altaba Inc. (NASDAQ:AABA)
Trade (NASDAQ:AABA) Now!

VeriFone Drops After Earnings Miss

VeriFone Systems Inc (NYSE:PAY) is almost 30% lower in pre-market trading after reporting its fiscal year 2016 second quarter results and issuing guidance for the remainder of the fiscal year. For the fiscal second quarter, VeriFone earned $0.47 per share on revenue of $532 million, missing estimates by $0.05 per share on the bottom-line but beating them by $1.9 million on the top-line. Revenue grew by 8.5% year-over-year, while adjusted gross margin fell by 40 basis points. Guidance was soft, with management expecting fiscal third quarter EPS of $0.40 on revenue of $515 million, well beneath estimates of EPS of $0.59 on revenue of $552.1 million. For the full fiscal year, the company expects $1.85 in EPS on revenue of $2.10 billion, below estimates of $2.23 in EPS on sales of $2.16 billion. Jim Simons‘ Renaissance Technologies trimmed its stake in VeriFone Systems Inc (NYSE:PAY) by 63% in the first quarter, to 436,319 shares as of the end of March.

Follow Verifone Systems Inc. (NYSE:PAY)
Trade (NYSE:PAY) Now!
On the next page we examine why LendingClub, Gevo Inc, and Skullcandy Inc are making noise this morning.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.