Should You Buy Telenav Inc (TNAV)?

Is Telenav Inc (NASDAQ:TNAV) going to take off soon? The best stock pickers are turning bullish. The number of long hedge fund positions rose by 3 in recent months.

In the 21st century investor’s toolkit, there are many indicators investors can use to monitor Mr. Market. A duo of the most innovative 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 outpace their index-focused peers by a healthy margin (see just how much).

Equally as key, bullish insider trading sentiment is another way to break down the financial markets. Just as you’d expect, there are lots of incentives for a corporate insider to cut shares of his or her company, but just one, very clear reason why they would behave bullishly. Several academic studies have demonstrated the impressive potential of this method if shareholders know where to look (learn more here).

With these “truths” under our belt, we’re going to take a peek at the recent action regarding Telenav Inc (NASDAQ:TNAV).

Hedge fund activity in Telenav Inc (NASDAQ:TNAV)

Heading into Q2, a total of 15 of the hedge funds we track were bullish in this stock, a change of 25% from the previous quarter. With hedgies’ capital changing hands, there exists a select group of key hedge fund managers who were increasing their holdings significantly.

Of the funds we track, Chuck Royce’s Royce & Associates had the largest position in Telenav Inc (NASDAQ:TNAV), worth close to $5.2 million, accounting for less than 0.1%% of its total 13F portfolio. The second largest stake is held by Nokomis Capital, managed by Brett Hendrickson, which held a $4.6 million position; 1.5% of its 13F portfolio is allocated to the stock. Other peers that are bullish include Jim Simons’s Renaissance Technologies, Peter Algert and Kevin Coldiron’s Algert Coldiron Investors and Israel Englander’s Millennium Management.

As aggregate interest increased, specific money managers were breaking ground themselves. Millennium Management, managed by Israel Englander, assembled the biggest position in Telenav Inc (NASDAQ:TNAV). Millennium Management had 0.8 million invested in the company at the end of the quarter. Howard Guberman’s Gruss Asset Management also initiated a $0.8 million position during the quarter. The other funds with brand new TNAV positions are Christopher Zepf and Brian Thonn’s Kingdom Ridge Capital, Glenn Russell Dubin’s Highbridge Capital Management, and Thomas Bailard’s Bailard Inc.

Insider trading activity in Telenav Inc (NASDAQ:TNAV)

Insider buying is particularly usable when the primary stock in question has experienced transactions within the past half-year. Over the last 180-day time period, Telenav Inc (NASDAQ:TNAV) has experienced zero unique insiders purchasing, and 6 insider sales (see the details of insider trades here).

Let’s also examine hedge fund and insider activity in other stocks similar to Telenav Inc (NASDAQ:TNAV). These stocks are Vishay Precision Group Inc (NYSE:VPG), Affymetrix, Inc. (NASDAQ:AFFX), Mitcham Industries, Inc. (NASDAQ:MIND), GSI Group Inc. (USA) (NASDAQ:GSIG), and Zygo Corporation (NASDAQ:ZIGO). This group of stocks are in the scientific & technical instruments industry and their market caps are closest to TNAV’s market cap.