Unwired Planet Inc (UPIP): Are Hedge Funds Right About This Stock?

Unwired Planet Inc (NASDAQ:UPIP) was in 13 hedge funds’ portfolio at the end of the first quarter of 2013. UPIP investors should pay attention to an increase in hedge fund interest in recent months. There were 12 hedge funds in our database with UPIP positions at the end of the previous quarter.

In the financial world, there are plenty of indicators market participants can use to watch stocks. A couple of the best are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the best money managers can outperform their index-focused peers by a significant amount (see just how much).

Just as beneficial, bullish insider trading sentiment is a second way to break down the stock market universe. There are lots of reasons for an upper level exec to cut shares of his or her company, but just one, very clear reason why they would initiate a purchase. Various academic studies have demonstrated the impressive potential of this method if “monkeys” know where to look (learn more here).

With these “truths” under our belt, let’s take a glance at the latest action encompassing Unwired Planet Inc (NASDAQ:UPIP).

What does the smart money think about Unwired Planet Inc (NASDAQ:UPIP)?

At Q1’s end, a total of 13 of the hedge funds we track held long positions in this stock, a change of 8% from the previous quarter. With hedge funds’ capital changing hands, there exists a few notable hedge fund managers who were boosting their stakes meaningfully.

According to our comprehensive database, Jeffrey Smith’s Starboard Value LP had the largest position in Unwired Planet Inc (NASDAQ:UPIP), worth close to $18.9 million, accounting for 1.7% of its total 13F portfolio. The second largest stake is held by George Soros of Soros Fund Management, with a $13.3 million position; 0.2% of its 13F portfolio is allocated to the stock. Remaining hedgies with similar optimism include Mark Kingdon’s Kingdon Capital, Spencer M. Waxman’s Shannon River Fund Management and Robert Millard’s Realm Partners.

As industrywide interest jumped, some big names were breaking ground themselves. Wexford Capital, managed by Charles Davidson, assembled the most valuable position in Unwired Planet Inc (NASDAQ:UPIP). Wexford Capital had 0.6 million invested in the company at the end of the quarter. Ken Griffin’s Citadel Investment Group also made a $0 million investment in the stock during the quarter.

How are insiders trading Unwired Planet Inc (NASDAQ:UPIP)?

Insider buying is most useful when the primary stock in question has experienced transactions within the past half-year. Over the latest 180-day time frame, Unwired Planet Inc (NASDAQ:UPIP) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).

With the returns exhibited by Insider Monkey’s strategies, retail investors should always monitor hedge fund and insider trading sentiment, and Unwired Planet Inc (NASDAQ:UPIP) applies perfectly to this mantra.

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