iGATE Corporation (NASDAQ:IGTE) was in 7 hedge funds’ portfolio at the end of December. IGTE investors should be aware of an increase in enthusiasm from smart money lately. There were 5 hedge funds in our database with IGTE positions at the end of the previous quarter.
To the average investor, there are a multitude of gauges investors can use to analyze stocks. Two of the most underrated are hedge fund and insider trading interest. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the elite fund managers can beat the market by a solid amount (see just how much).
Just as beneficial, bullish insider trading sentiment is another way to parse down the marketplace. There are many motivations for an executive to get rid of shares of his or her company, but only one, very clear reason why they would behave bullishly. Several empirical studies have demonstrated the valuable potential of this method if “monkeys” know what to do (learn more here).
With all of this in mind, let’s take a look at the key action regarding iGATE Corporation (NASDAQ:IGTE).
How are hedge funds trading iGATE Corporation (NASDAQ:IGTE)?
At year’s end, a total of 7 of the hedge funds we track were long in this stock, a change of 40% from one quarter earlier. With the smart money’s positions undergoing their usual ebb and flow, there exists a few noteworthy hedge fund managers who were upping their stakes considerably.
Of the funds we track, Clifton S. Robbins’s Blue Harbour Group had the most valuable position in iGATE Corporation (NASDAQ:IGTE), worth close to $86.5 million, comprising 9.7% of its total 13F portfolio. The second largest stake is held by P.A.W. CAPITAL PARTNERS, managed by Peter A. Wright, which held a $4.6 million position; the fund has 3.6% of its 13F portfolio invested in the stock. Some other hedge funds that hold long positions include Steve Shapiro’s Intrepid Capital Management Inc DE, Israel Englander’s Millennium Management and Ken Griffin’s Citadel Investment Group.
With a general bullishness amongst the heavyweights, specific money managers have been driving this bullishness. Citadel Investment Group, managed by Ken Griffin, initiated the biggest position in iGATE Corporation (NASDAQ:IGTE). Citadel Investment Group had 0.8 million invested in the company at the end of the quarter. Mike Vranos’s Ellington also made a $0.3 million investment in the stock during the quarter. The other funds with new positions in the stock are D. E. Shaw’s D E Shaw and Ken Griffin’s Citadel Investment Group.
How have insiders been trading iGATE Corporation (NASDAQ:IGTE)?
Insider buying is best served when the company in focus has seen transactions within the past half-year. Over the last six-month time period, iGATE Corporation (NASDAQ:IGTE) has seen 6 unique insiders buying, and 4 insider sales (see the details of insider trades here).
Let’s also examine hedge fund and insider activity in other stocks similar to iGATE Corporation (NASDAQ:IGTE). These stocks are Sykes Enterprises, Incorporated (NASDAQ:SYKE), Radware Ltd. (NASDAQ:RDWR), Acxiom Corporation (NASDAQ:ACXM), Unisys Corporation (NYSE:UIS), and EPAM Systems Inc (NYSE:EPAM). This group of stocks are in the information technology services industry and their market caps are closest to IGTE’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Sykes Enterprises, Incorporated (NASDAQ:SYKE) | 13 | 0 | 2 |
| Radware Ltd. (NASDAQ:RDWR) | 10 | 0 | 0 |
| Acxiom Corporation (NASDAQ:ACXM) | 17 | 1 | 1 |
| Unisys Corporation (NYSE:UIS) | 17 | 0 | 0 |
| EPAM Systems Inc (NYSE:EPAM) | 1 | 0 | 4 |
With the results shown by our time-tested strategies, everyday investors must always pay attention to hedge fund and insider trading activity, and iGATE Corporation (NASDAQ:IGTE) applies perfectly to this mantra.
