Oracle Corporation (NASDAQ:ORCL) was in 65 hedge funds’ portfolio at the end of December. ORCL investors should pay attention to a decrease in activity from the world’s largest hedge funds lately. There were 67 hedge funds in our database with ORCL holdings at the end of the previous quarter.
In today’s marketplace, there are tons of methods shareholders can use to monitor the equity markets. Two of the most under-the-radar are hedge fund and insider trading activity. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the best money managers can outpace the S&P 500 by a solid amount (see just how much).
Just as integral, positive insider trading sentiment is another way to break down the stock market universe. Obviously, there are a number of incentives for an insider to cut shares of his or her company, but only one, very simple reason why they would buy. Plenty of empirical studies have demonstrated the useful potential of this tactic if “monkeys” know what to do (learn more here).
Consequently, it’s important to take a peek at the latest action encompassing Oracle Corporation (NASDAQ:ORCL).
What have hedge funds been doing with Oracle Corporation (NASDAQ:ORCL)?
Heading into 2013, a total of 65 of the hedge funds we track were long in this stock, a change of -3% from the third quarter. With hedge funds’ capital changing hands, there exists an “upper tier” of noteworthy hedge fund managers who were upping their stakes substantially.
According to our comprehensive database, Eagle Capital Management, managed by Boykin Curry, holds the biggest position in Oracle Corporation (NASDAQ:ORCL). Eagle Capital Management has a $689 million position in the stock, comprising 4.9% of its 13F portfolio. Sitting at the No. 2 spot is Fisher Asset Management, managed by Ken Fisher, which held a $658 million position; 1% of its 13F portfolio is allocated to the company. Some other hedge funds that hold long positions include Jean-Marie Eveillard’s First Eagle Investment Management, Richard S. Pzena’s Pzena Investment Management and Seth Klarman’s Baupost Group.
Due to the fact that Oracle Corporation (NASDAQ:ORCL) has experienced declining sentiment from the aggregate hedge fund industry, it’s easy to see that there exists a select few money managers that slashed their entire stakes heading into 2013. Interestingly, Robert Rodriguez and Steven Romick’s First Pacific Advisors LLC sold off the biggest position of all the hedgies we key on, valued at an estimated $169 million in stock., and Lee Ainslie of Maverick Capital was right behind this move, as the fund cut about $111 million worth. These bearish behaviors are intriguing to say the least, as aggregate hedge fund interest fell by 2 funds heading into 2013.
What do corporate executives and insiders think about Oracle Corporation (NASDAQ:ORCL)?
Bullish insider trading is best served when the company in focus has seen transactions within the past half-year. Over the last 180-day time frame, Oracle Corporation (NASDAQ:ORCL) has experienced zero unique insiders purchasing, and 8 insider sales (see the details of insider trades here).
With the results demonstrated by our research, everyday investors must always pay attention to hedge fund and insider trading activity, and Oracle Corporation (NASDAQ:ORCL) applies perfectly to this mantra.
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