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Do you follow smart money buying and selling trends? For a closer look at stocks currently out of favor by smart money institutional investors, we ran a screen.

We began by screening the tech sector for stocks that are rallying above their 20-day, 50-day, and 200-day moving averages, indicating that these stocks have strong upward momentum.

We then screened for those with bearish sentiment from institutional investors, with significant net institutional sales over the last quarter representing at least 5% of share float. This indicates that institutional investors such as hedge fund managers and mutual fund managers expect these names to underperform in the future.

For an interactive version of this chart, click on the image below. Analyst ratings sourced from Zacks Investment Research.

Tool provided by Kapitall.

Do you think these stocks are in hot water, despite their recently strong performance? Use this list as a starting point for your own analysis.

List sorted by net institutional sales over the last quarter as a percent of share float.

1. Power Integrations Inc. (NASDAQ:POWI): Designs, develops, manufactures, and markets proprietary, high-voltage, analog, and mixed-signal integrated circuits in the United States and internationally. Market cap at $1.14B, most recent closing price at $40.56. The stock is currently trading 0.05% above its 20-day moving average, 5.55% above its 50-day MA, and 15.11% above its 200-day MA. Net institutional sales in the current quarter at -2.6M shares, which represents about 10.03% of the company's float of 25.93M shares.

2. The Ultimate Software Group, Inc. (NASDAQ:ULTI): Designs, markets, implements, and supports unified human capital management software-as-service solutions to businesses, providing a single source for comprehensive human resources, payroll, and talent management technology. Market cap at $2.19B, most recent closing price at $83.04. The stock is currently trading 6.52% above its 20-day moving average, 10.85% above its 50-day MA, and 28.25% above its 200-day MA. Net institutional sales in the current quarter at -1.8M shares, which represents about 6.92% of the company's float of 26.02M shares.

3. AboveNet, Inc. (NYSE:ABVT): Provides high-bandwidth connectivity solutions to corporate enterprise clients and communication carriers primarily in the United States and the United Kingdom. Market cap at $2.19B, most recent closing price at $83.50. The stock is currently trading 0.34% above its 20-day moving average, 0.50% above its 50-day MA, and 22.32% above its 200-day MA. Net institutional sales in the current quarter at -1.6M shares, which represents about 6.84% of the company's float of 23.38M shares.

4. CIENA Corp. (NYSE:CIEN): Provides communications networking equipment, software, and services that support the transport, switching, aggregation, and management of voice, video, and data traffic. Market cap at $1.4B, most recent closing price at $14.31. The stock is currently trading 16.60% above its 20-day moving average, 3.10% above its 50-day MA, and 7.96% above its 200-day MA. Net institutional sales in the current quarter at -5.0M shares, which represents about 5.78% of the company's float of 86.57M shares.

*Institutional data sourced from Fidelity, all other data sourced from Finviz.

Source: 4 Rallying Tech Stocks Being Sold Off By Hedge Funds