Recent insider trends for Atara Biotherapeutics, Inc. (NASDAQ:ATRA) have caught the attention of investors. Patters in insider activity can help analysts formulate an outlook for a stock. In the case of ATRA, the data has a lot to say about how the stock might perform going forward.
Institutions own 70.74% of Atara Biotherapeutics, Inc. (ATRA)’s shares. The total value of these holdings, in millions, is $1,109. Among active positions in the latest quarter, 41 holders increased their positions by a total of 2.35 million shares, 34 holders decreased the positions by a total of 1.26 million shares, and 20 holders held their positions. This works out to a net increase in ownership of 1.09 million shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 9 holders initiated new positions by a total of 125161 shares and 14 holders exited their positions by a total of 555662 shares. This nets out to a decrease of 430501 shares and is another bearish sign for ATRA.
In the last three months, insiders executed a total of 35 trades. 7 of these were buys and 28 were sells. Insider ownership decreased by a total of 46441 shares, which suggests that ATRA’s key executives are feeling less optimistic about the outlook for the stock. The data from the past twelve months tells a similar story: insiders executed 14 buys and 88 sells, and ownership decreased by a net of 288168 shares.
Short interest, or the number of a stock’s tradable shares currently being shorted, is another metric investors use to get a pulse on sentiment. Atara Biotherapeutics, Inc. (NASDAQ:ATRA)’s short interest is 4.82 million shares, or 32.01% of the float. This represents a decrease of -7% 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.
In light of the insider ownership and trading data it makes sense to consider technicals to see if they come to a similar conclusion about the outlook for ATRA. A composite of 13 technical indicators that includes measures such as moving averages and momentum oscillators suggests that ATRA is a Strong buy, which implies that ATRA 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 bearish. Technical indicators (also) suggest that Atara Biotherapeutics, Inc. (NASDAQ:ATRA) is undervalued.