Should You Buy Bluegreen Corporation (BXG)?

Bluegreen Corporation (NYSE:BXG) has seen an increase in hedge fund interest recently.

To the average investor, there are a multitude of indicators shareholders can use to watch their holdings. A couple of the most under-the-radar 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 elite hedge fund managers can beat the broader indices by a solid amount (see just how much).

Equally as key, positive insider trading sentiment is a second way to break down the world of equities. There are a number of incentives for an upper level exec to sell shares of his or her company, but just one, very clear reason why they would initiate a purchase. Various academic studies have demonstrated the market-beating potential of this method if piggybackers understand where to look (learn more here).

Keeping this in mind, let’s take a peek at the recent action encompassing Bluegreen Corporation (NYSE:BXG).

What have hedge funds been doing with Bluegreen Corporation (NYSE:BXG)?

In preparation for this quarter, a total of 5 of the hedge funds we track were bullish in this stock, a change of 25% from one quarter earlier. With hedge funds’ sentiment swirling, there exists a select group of noteworthy hedge fund managers who were boosting their holdings considerably.

Of the funds we track, AQR Capital Management, managed by Cliff Asness, holds the largest position in Bluegreen Corporation (NYSE:BXG). AQR Capital Management has a $6 million position in the stock, comprising less than 0.1%% of its 13F portfolio. On AQR Capital Management’s heels is Renaissance Technologies, managed by Jim Simons, which held a $5.5 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Remaining hedge funds with similar optimism include Andy Redleaf’s Whitebox Advisors, Paul Touradji’s TOURADJI CAPITAL MANAGEMENT, LP and Israel Englander’s Millennium Management.

With a general bullishness amongst the heavyweights, specific money managers have jumped into Bluegreen Corporation (NYSE:BXG) headfirst. TOURADJI CAPITAL MANAGEMENT, LP, managed by Paul Touradji, assembled the biggest position in Bluegreen Corporation (NYSE:BXG). TOURADJI CAPITAL MANAGEMENT, LP had 0.2 million invested in the company at the end of the quarter. Israel Englander’s Millennium Management also made a $0.1 million investment in the stock during the quarter.

Insider trading activity in Bluegreen Corporation (NYSE:BXG)

Insider trading activity, especially when it’s bullish, is best served when the company in question has experienced transactions within the past half-year. Over the last 180-day time period, Bluegreen Corporation (NYSE:BXG) has seen zero unique insiders buying, and zero insider sales (see the details of insider trades here).

Let’s check out hedge fund and insider activity in other stocks similar to Bluegreen Corporation (NYSE:BXG). These stocks are Pinnacle Entertainment, Inc (NYSE:PNK), Boyd Gaming Corporation (NYSE:BYD), Monarch Casino & Resort, Inc. (NASDAQ:MCRI), Isle of Capri Casinos (NASDAQ:ISLE), and The Marcus Corporation (NYSE:MCS). All of these stocks are in the resorts & casinos industry and their market caps are similar to BXG’s market cap.

With the returns shown by the aforementioned tactics, everyday investors should always pay attention to hedge fund and insider trading activity, and Bluegreen Corporation (NYSE:BXG) applies perfectly to this mantra.

Click here to learn why you should track hedge funds