Is Examworks Group, Inc. (EXAM) Going to Burn These Hedge Funds?
Should Examworks Group, Inc. (NYSE:EXAM) investors track the following data?
To many investors, hedge funds are seen as bloated, outdated investment tools of a period lost to current times. Although there are more than 8,000 hedge funds in operation in present day, Insider Monkey looks at the top tier of this group, around 525 funds. It is assumed that this group oversees most of the hedge fund industry's total capital, and by watching their best picks, we've identified a few investment strategies that have historically outstripped the broader indices. Our small-cap hedge fund strategy beat the S&P 500 index by 18 percentage points per annum for a decade in our back tests, and since we've began to sharing our picks with our subscribers at the end of August 2012, we have outclassed the S&P 500 index by 33 percentage points in 11 months (find the details here).
Equally as useful, positive insider trading sentiment is a second way to look at the investments you're interested in. As the old adage goes: there are a number of reasons for a corporate insider to get rid of shares of his or her company, but only one, very clear reason why they would initiate a purchase. Various academic studies have demonstrated the impressive potential of this strategy if investors understand what to do (learn more here).
Keeping this in mind, let's study the latest info for Examworks Group, Inc. (NYSE:EXAM).
What does the smart money think about Examworks Group, Inc. (NYSE:EXAM)?
Heading into Q3, a total of 12 of the hedge funds we track were long in this stock, a change of 20% from the previous quarter. With hedgies' positions undergoing their usual ebb and flow, there exists a select group of notable hedge fund managers who were boosting their stakes considerably.
Out of the hedge funds we follow, Pivot Point Capital, managed by James A. Noonan, holds the biggest position in Examworks Group, Inc. (NYSE:EXAM). Pivot Point Capital has a $36.3 million position in the stock, comprising 19.4% of its 13F portfolio. Sitting at the No. 2 spot is Polar Capital, managed by Brian Ashford-Russell and Tim Woolley, which held a $11 million position; 0.4% of its 13F portfolio is allocated to the stock. Other hedgies that hold long positions include SAC Subsidiary's CR Intrinsic Investors, Mark Broach's Manatuck Hill Partners and Edward Goodnow's Goodnow Investment Group.
Consequently, particular hedge funds were breaking ground themselves. Pivot Point Capital, managed by James A. Noonan, created the largest position in Examworks Group, Inc. (NYSE:EXAM). Pivot Point Capital had 36.3 million invested in the company at the end of the quarter. Brian Ashford-Russell and Tim Woolley's Polar Capital also made a $11 million investment in the stock during the quarter. The other funds with new positions in the stock are SAC Subsidiary's CR Intrinsic Investors, Mark Broach's Manatuck Hill Partners, and Edward Goodnow's Goodnow Investment Group.
How are insiders trading Examworks Group, Inc. (NYSE:EXAM)?
Insider buying is at its handiest when the company we're looking at has seen transactions within the past half-year. Over the last half-year time period, Examworks Group, Inc. (NYSE:EXAM) has experienced zero unique insiders buying, and zero insider sales (see the details of insider trades here).
We'll also examine the relationship between both of these indicators in other stocks similar to Examworks Group, Inc. (NYSE:EXAM). These stocks are Performant Financial Corp (NASDAQ:PFMT), American Public Education, Inc. (NASDAQ:APEI), Comverse Inc (NASDAQ:CNSI), COMSCORE, Inc. (NASDAQ:SCOR), and Green Dot Corporation (NYSE:GDOT). All of these stocks are in the business services industry and their market caps are closest to EXAM's market cap.
# of Hedge Funds
# of Insiders Buying
# of Insiders Selling
Performant Financial Corp (NASDAQ:PFMT)
American Public Education, Inc. (NASDAQ:APEI)
Comverse Inc (NASDAQ:CNSI)
COMSCORE, Inc. (NASDAQ:SCOR)
Green Dot Corporation (NYSE:GDOT)
Using the results demonstrated by the previously mentioned analyses, regular investors should always watch hedge fund and insider trading sentiment, and Examworks Group, Inc. (NYSE:EXAM) shareholders fit into this picture quite nicely.