To the average investor, there are a multitude of methods investors can use to monitor the equity markets. A couple of the most underrated are hedge fund and insider trading activity. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the best investment managers can outclass the market by a superb amount (see just how much).
Just as key, positive insider trading activity is a second way to break down the financial markets. As the old adage goes: there are plenty of motivations for an upper level exec to sell shares of his or her company, but only one, very obvious reason why they would behave bullishly. Various academic studies have demonstrated the useful potential of this strategy if “monkeys” know what to do (learn more here).
Consequently, it’s important to take a glance at the key action surrounding Verint Systems Inc. (NASDAQ:VRNT).
What does the smart money think about Verint Systems Inc. (NASDAQ:VRNT)?
In preparation for this year, a total of 18 of the hedge funds we track were long in this stock, a change of 6% from the third quarter. With hedgies’ positions undergoing their usual ebb and flow, there exists a few notable hedge fund managers who were increasing their holdings meaningfully.
Of the funds we track, Cadian Capital, managed by Eric Bannasch, holds the most valuable position in Verint Systems Inc. (NASDAQ:VRNT). Cadian Capital has a $114 million position in the stock, comprising 3.7% of its 13F portfolio. The second largest stake is held by Blue Mountain Capital, managed by Andrew Feldstein and Stephen Siderow, which held a $26 million position; 1.4% of its 13F portfolio is allocated to the company. Some other hedgies that hold long positions include Ryan Schaper’s Point Lobos Capital, Scott Scher & Michael Prober’s Clovis Capital Management and Thomas Ellis and Todd Hammer’s North Run Capital.
With a general bullishness amongst the heavyweights, key money managers were leading the bulls’ herd. North Run Capital, managed by Thomas Ellis and Todd Hammer, created the largest position in Verint Systems Inc. (NASDAQ:VRNT). North Run Capital had 13 million invested in the company at the end of the quarter. Robert Pitts’s Steadfast Capital Management also initiated a $8 million position during the quarter. The other funds with new positions in the stock are Clifton S. Robbins’s Blue Harbour Group, Mike Vranos’s Ellington, and Neil Chriss’s Hutchin Hill Capital.
Insider trading activity in Verint Systems Inc. (NASDAQ:VRNT)
Insider trading activity, especially when it’s bullish, is particularly usable when the primary stock in question has experienced transactions within the past six months. Over the last 180-day time period, Verint Systems Inc. (NASDAQ:VRNT) has seen 1 unique insiders purchasing, and 7 insider sales (see the details of insider trades here).
With the returns shown by the aforementioned studies, everyday investors must always pay attention to hedge fund and insider trading sentiment, and Verint Systems Inc. (NASDAQ:VRNT) is an important part of this process.
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