In today’s marketplace, there are dozens of methods shareholders can use to track their holdings. Two of the most underrated are hedge fund and insider trading activity. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the top fund managers can trounce the S&P 500 by a very impressive margin (see just how much).
Equally as crucial, optimistic insider trading activity is a second way to analyze the financial markets. Obviously, there are plenty of reasons for an executive to get rid of shares of his or her company, but just one, very simple reason why they would buy. Plenty of empirical studies have demonstrated the impressive potential of this tactic if “monkeys” understand what to do (learn more here).
Keeping this in mind, it’s important to analyze the recent info surrounding UniPixel Inc (NASDAQ:UNXL).
How are hedge funds trading UniPixel Inc (NASDAQ:UNXL)?
In preparation for the third quarter, a total of 9 of the hedge funds we track held long positions in this stock, a change of -31% from the previous quarter. With the smart money’s positions undergoing their usual ebb and flow, there exists a few notable hedge fund managers who were boosting their stakes considerably.
According to our 13F database, Phil Frohlich’s Prescott Group Capital Management had the biggest position in UniPixel Inc (NASDAQ:UNXL), worth close to $3 million, accounting for 0.7% of its total 13F portfolio. Sitting at the No. 2 spot is Ken Griffin of Citadel Investment Group, with a $1.6 million call position; less than 0.1%% of its 13F portfolio is allocated to the stock. Some other hedge funds that hold long positions include Joseph A. Jolson’s Harvest Capital Strategies, Anand Parekh’s Alyeska Investment Group and D. E. Shaw’s D E Shaw.
As UniPixel Inc (NASDAQ:UNXL) has experienced bearish sentiment from the top-tier hedge fund industry, logic holds that there lies a certain “tier” of funds that slashed their entire stakes at the end of the second quarter. At the top of the heap, Andy Redleaf’s Whitebox Advisors said goodbye to the largest investment of the 450+ funds we watch, comprising about $3.4 million in stock, and Alex Sacerdote of Whale Rock Capital Management was right behind this move, as the fund cut about $2.9 million worth. These bearish behaviors are intriguing to say the least, as total hedge fund interest dropped by 4 funds at the end of the second quarter.
Insider trading activity in UniPixel Inc (NASDAQ:UNXL)
Insider buying is best served when the primary stock in question has seen transactions within the past 180 days. Over the last six-month time frame, UniPixel Inc (NASDAQ:UNXL) has seen zero unique insiders purchasing, and zero insider sales (see the details of insider trades here).
We’ll also take a look at the relationship between both of these indicators in other stocks similar to UniPixel Inc (NASDAQ:UNXL). These stocks are Vicor Corp (NASDAQ:VICR), Orbotech Ltd. (NASDAQ:ORBK), Silicon Motion Technology Corp. (ADR) (NASDAQ:SIMO), CTS Corporation (NYSE:CTS), and KEMET Corporation (NYSE:KEM). This group of stocks belong to the diversified electronics industry and their market caps are similar to UNXL’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Vicor Corp (NASDAQ:VICR) | 5 | 0 | 0 |
| Orbotech Ltd. (NASDAQ:ORBK) | 8 | 0 | 0 |
| Silicon Motion Technology Corp. (ADR) (NASDAQ:SIMO) | 10 | 0 | 0 |
| CTS Corporation (NYSE:CTS) | 11 | 0 | 0 |
| KEMET Corporation (NYSE:KEM) | 6 | 0 | 0 |
Using the results shown by Insider Monkey’s tactics, average investors should always watch hedge fund and insider trading sentiment, and UniPixel Inc (NASDAQ:UNXL) shareholders fit into this picture quite nicely.
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