Is Vista Gold Corp. (NYSEAMEX:VGZ) a buy, sell, or hold? The smart money is selling. The number of long hedge fund positions retreated by 1 lately.
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Just as important, bullish insider trading sentiment is another way to break down the world of equities. Just as you’d expect, there are a variety of motivations for a corporate insider to downsize shares of his or her company, but just one, very simple reason why they would behave bullishly. Many academic studies have demonstrated the useful potential of this strategy if you know what to do (learn more here).
With these “truths” under our belt, it’s important to take a peek at the key action surrounding Vista Gold Corp. (NYSEAMEX:VGZ).
How have hedgies been trading Vista Gold Corp. (NYSEAMEX:VGZ)?
At Q1’s end, a total of 8 of the hedge funds we track held long positions in this stock, a change of -11% from the previous quarter. With the smart money’s capital changing hands, there exists an “upper tier” of notable hedge fund managers who were boosting their stakes substantially.
Judging by the fact that Vista Gold Corp. (NYSEAMEX:VGZ) has faced declining sentiment from the smart money, it’s safe to say that there exists a select few money managers who sold off their full holdings last quarter. Interestingly, Israel Englander’s Millennium Management sold off the largest position of the 450+ funds we monitor, totaling an estimated $0.1 million in stock.. Steven Cohen’s fund, SAC Capital Advisors, also dumped its stock, about $0.1 million worth. These transactions are important to note, as total hedge fund interest was cut by 1 funds last quarter.
How have insiders been trading Vista Gold Corp. (NYSEAMEX:VGZ)?
Insider buying is best served when the company in question has seen transactions within the past half-year. Over the last half-year time period, Vista Gold Corp. (NYSEAMEX:VGZ) has experienced 1 unique insiders buying, and zero insider sales (see the details of insider trades here).
Let’s also examine hedge fund and insider activity in other stocks similar to Vista Gold Corp. (NYSEAMEX:VGZ). These stocks are Comstock Mining, Inc. (NYSEAMEX:LODE), Lake Shore Gold Corp Ordinary Shares (Canada) (NYSEAMEX:LSG), International Tower Hill Mines Ltd(USA] (NYSEAMEX:THM), Midway Gold Corp (USA) (NYSEAMEX:MDW), and Brigus Gold Corp (USA) (NYSEAMEX:BRD). All of these stocks are in the gold industry and their market caps are closest to VGZ’s market cap.
Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
Comstock Mining, Inc. (NYSEAMEX:LODE) | 5 | 0 | 0 |
Lake Shore Gold Corp Ordinary Shares (Canada) (NYSEAMEX:LSG) | 4 | 0 | 0 |
International Tower Hill Mines Ltd(USA] (NYSEAMEX:THM) | 7 | 0 | 1 |
Midway Gold Corp (USA) (NYSEAMEX:MDW) | 5 | 0 | 0 |
Brigus Gold Corp (USA) (NYSEAMEX:BRD) | 4 | 0 | 0 |
With the results shown by our time-tested strategies, retail investors should always pay attention to hedge fund and insider trading activity, and Vista Gold Corp. (NYSEAMEX:VGZ) is no exception.