Insider Monkey has processed numerous 13F filings of hedge funds and famous investors to create an extensive database of hedge fund holdings. The 13F filings show the hedge funds and investors’ positions as of the end of the third quarter. You can find write-ups about an individual hedge fund’s trades on numerous financial news websites. However, in this article we will take a look at their collective moves and analyze what the smart money thinks of IDT Corporation (NYSE:IDT) based on that data.
IDT Corporation (NYSE:IDT) has seen an increase in activity from the world’s largest hedge funds recently. IDT Corporation (NYSE:IDT) was in 10 hedge funds’ portfolios at the end of September. There were 8 hedge funds in our database with IDT Corporation (NYSE:IDT) holdings at the end of the previous quarter. At the end of this article, we will also compare IDT Corporation (NYSE:IDT) to other stocks, including Extreme Networks, Inc (NASDAQ:EXTR), ProQR Therapeutics NV (NASDAQ:PRQR), and Regulus Therapeutics Inc (NASDAQ:RGLS) to get a better sense of its popularity.
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In the 21st century investor’s toolkit, there are a lot of tools market participants can use to value publicly traded companies. A pair of the less known tools are hedge fund and insider trading activity. Our researchers have shown that, historically, those who follow the best picks of the top money managers can outperform the broader indices by a very impressive amount (see the details here).
With all of this in mind, we’re going to go over the key action regarding IDT Corporation (NYSE:IDT).
What have hedge funds been doing with IDT Corporation (NYSE:IDT)?
At the end of the third quarter, a total of 10 of the hedge funds tracked by Insider Monkey were bullish on this stock, an increase of 25% from the previous quarter. With hedge funds’ positions undergoing their usual ebb and flow, there exists a select group of key hedge fund managers who were increasing their stakes meaningfully (or already accumulated large positions).
When looking at the institutional investors followed by Insider Monkey, Renaissance Technologies has the most valuable position in IDT Corporation (NYSE:IDT), worth close to $16.4 million, amounting to less than 0.1% of its total 13F portfolio. On Renaissance Technologies’s heels is AQR Capital Management, led by Cliff Asness, holding a $2.3 million position; the fund has less than 0.1% of its 13F portfolio invested in the stock. Some other professional money managers that are bullish include Israel Englander’s Millennium Management, Peter Algert and Kevin Coldiron’s Algert Coldiron Investors and John Overdeck and David Siegel’s Two Sigma Advisors.
Now, key hedge funds were leading the bulls’ herd. Algert Coldiron Investors created the largest position in IDT Corporation (NYSE:IDT). Algert Coldiron Investors had $1 million invested in the company at the end of the quarter. Matthew Hulsizer’s PEAK6 Capital Management also initiated a $0.7 million position during the quarter.
Let’s check out hedge fund activity in other stocks similar to IDT Corporation (NYSE:IDT). These stocks are Extreme Networks, Inc (NASDAQ:EXTR), ProQR Therapeutics NV (NASDAQ:PRQR), Regulus Therapeutics Inc (NASDAQ:RGLS), and First Defiance Financial (NASDAQ:FDEF). All of these stocks’ market caps match IDT Corporation (NYSE:IDT)’s market cap.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| EXTR | 19 | 71631 | 3 |
| PRQR | 14 | 85582 | -2 |
| RGLS | 13 | 46409 | -1 |
| FDEF | 10 | 22421 | 1 |
As you can see, these stocks had an average of 14 hedge funds with bullish positions and the average amount invested in these stocks was $57 million. That figure was $31 million in IDT Corporation (NYSE:IDT)’s case. Extreme Networks, Inc (NASDAQ:EXTR) is the most popular stock in this table. On the other hand, First Defiance Financial (NASDAQ:FDEF) is the least popular one with only 10 bullish hedge fund positions. Compared to these stocks, IDT Corporation (NYSE:IDT) is even less popular than First Defiance Financial (NASDAQ:FDEF). Considering that hedge funds aren’t fond of this stock in relation to other companies compared in this article, it may be a good idea to analyze it in detail and understand why the smart money isn’t behind this stock. This isn’t necessarily bad news. Although it is possible that hedge funds may think the stock is overpriced and view the stock as a short candidate, they may not be very familiar with the bullish thesis. In either case more research is warranted.
