Recent insider trends for Intrexon Corporation (NYSE:XON) have caught the attention of investors. Patters in insider activity can help analysts formulate an outlook for a stock. In the case of XON, the data has a lot to say about how the stock might perform going forward.
Institutions own 77.60% of Intrexon Corporation (XON)’s shares. The total value of these holdings, in millions, is $1,262. Among active positions in the latest quarter, 83 holders increased their positions by a total of 2.58 million shares, 73 holders decreased the positions by a total of 8.01 million shares, and 35 holders held their positions. This works out to a net decrease in ownership of 5.44 million shares, and suggests that institutions are feeling bearish about the stock.
Among new and sold out positions, 21 holders initiated new positions by a total of 431772 shares and 36 holders exited their positions by a total of 517346 shares. This nets out to a decrease of 85574 shares and is another bearish sign for XON.
In the last three months, insiders executed a total of 4 trades. 4 of these were buys . Insider ownership increased by a total of 1.43 million shares, which suggests that XON’s key executives are feeling more optimistic about the outlook for the stock. The data from the past twelve months tells a different story: insiders executed 32 buys and 2 sells, and ownership decreased by a net of 3.99 million shares.
Short interest is another tool that analysts use to gauge investor sentiment. It represents the number of a stock’s shares that are being shorted by investors. Intrexon Corporation (NYSE:XON)’s short interest is 21.17 million shares, or 38.11% of the float. This represents an increase of 0% in the number of shares being shorted compared to the previous reading, and implies that investors felt less pessimistic about the stock during the past two weeks.
Supplementing insider data with technical indicators can help an investor form a more complete view on the outlook for a stock. A composite of 13 technical indicators that includes measures such as moving averages and momentum oscillators suggests that XON is a Weak buy, which implies that XON is expected to outperform the market based on prior trading patterns.
Institutional ownership trends suggest that the stock is cheap and the insider trading data indicates that insiders are bullish. Technical indicators (also) suggest that Intrexon Corporation (NYSE:XON) is undervalued.