In the 21st century investor’s toolkit, there are tons of indicators investors can use to track stocks. Some of the most under-the-radar are hedge fund and insider trading sentiment. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the best investment managers can beat the market by a very impressive margin (see just how much).
Equally as integral, optimistic insider trading activity is a second way to parse down the investments you’re interested in. Just as you’d expect, there are plenty of reasons for a corporate insider to sell shares of his or her company, but just one, very clear reason why they would behave bullishly. Various empirical studies have demonstrated the market-beating potential of this strategy if piggybackers understand what to do (learn more here).
Consequently, it’s important to take a peek at the latest action regarding Deckers Outdoor Corp (NASDAQ:DECK).
Hedge fund activity in Deckers Outdoor Corp (NASDAQ:DECK)
At the end of the fourth quarter, a total of 22 of the hedge funds we track were bullish in this stock, a change of -19% from the third quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists an “upper tier” of noteworthy hedge fund managers who were boosting their holdings significantly.
Of the funds we track, Tiger Global Management LLC had the most valuable call position in Deckers Outdoor Corp (NASDAQ:DECK), worth close to $60 million, accounting for 1.1% of its total 13F portfolio. Coming in second is Owl Creek Asset Management, managed by Jeffrey Altman, which held a $47 million position; the fund has 1.5% of its 13F portfolio invested in the stock. Remaining hedge funds that are bullish include Chuck Royce’s Royce & Associates, and Patrick McCormack’s Tiger Consumer Management.
Since Deckers Outdoor Corp (NASDAQ:DECK) has faced bearish sentiment from the smart money, it’s safe to say that there exists a select few funds who sold off their positions entirely last quarter. It’s worth mentioning that Christian Leone’s Luxor Capital Group said goodbye to the largest investment of all the hedgies we monitor, worth about $96 million in stock. Tiger Global Management LLC, also cut its stock, about $31 million worth. These bearish behaviors are interesting, as total hedge fund interest fell by 5 funds last quarter.
Insider trading activity in Deckers Outdoor Corp (NASDAQ:DECK)
Insider buying is best served when the company in question has seen transactions within the past half-year. Over the last six-month time period, Deckers Outdoor Corp (NASDAQ:DECK) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).
With the returns exhibited by the aforementioned strategies, retail investors must always keep an eye on hedge fund and insider trading sentiment, and Deckers Outdoor Corp (NASDAQ:DECK) shareholders fit into this picture quite nicely.
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