Stockpickr: Trade Like This Hedge Fund Hotshot

In a previous article, I mentioned Klarman held shares of InfoSpace(INSP Quote). In the past quarter, he has increased this holding 271%, and the position now represents close to 5% of his total holdings.

As I mentioned in that column, every aspect of InfoSpace's business is declining. Yet it has valuable assets in its search business, and most importantly, it has $400 million in net cash. Despite all of the downturns in the company's business, analysts recently upped their average expectations on next year's earnings from 5 cents a share 90 days ago to 15 cents a share now.

Others who count InfoSpace among their holdings are Renaissance Technologies, the Jacob Internet fund and House Speaker Nancy Pelosi.

Another position that Klarman increased in his latest securities filing was Multimedia Games(MGAM Quote), a maker of slot machines primarily for casinos run by Native American tribes.

I'm intrigued by this because Multimedia Games is also owned by Prentice Capital. Prentice was started by two former SAC Capital traders and was funded, in large part, by SAC Capital, one of the best funds out there. My guess is that Prentice often paves the way for SAC, and SAC has a tendency to piggyback Prentice. Prentice and SAC have shared positions such as Wet Seal(WTSLA Quote), among other stocks.