Recent insider trends for ConforMIS, Inc. (NASDAQ:CFMS) have caught the attention of investors. Analysts study insider data to get a sense of sense of what key shareholders think about the outlook for a particular stock. In the case of CFMS, the data has some interesting implications for where the stock might be headed.
Institutions own 26.77% of ConforMIS, Inc. (CFMS)’s shares. The total value of these holdings, in millions, is $22. Among active positions in the latest quarter, 32 holders increased their positions by a total of 2.18 million shares, 40 holders decreased the positions by a total of 1.05 million shares, and 22 holders held their positions. This works out to a net increase in ownership of 1.13 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 158459 shares and 20 holders exited their positions by a total of 558910 shares. This nets out to a decrease of 400451 shares and is another bearish sign for CFMS.
In the last three months, insiders executed a total of 16 trades. 4 of these were buys and 12 were sells. Insider ownership increased by a total of 2480 shares, which suggests that CFMS’s key executives are feeling more optimistic about the outlook for the stock. The data from the past twelve months tells a similar story: insiders executed 16 buys and 21 sells, and ownership increased by a net of 354425 shares.
Analysts often look at short interest, or the number of shares currently being shorted by investors, to aid in their outlook for a particular stock. ConforMIS, Inc. (NASDAQ:CFMS)’s short interest is 1.75 million shares, or 4.39% of the float. This represents a decrease of -30% 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 CFMS. A composite of 13 technical indicators that includes measures such as moving averages and momentum oscillators suggests that CFMS is a Strong sell, which implies that CFMS is expected to underperform 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 ConforMIS, Inc. (NASDAQ:CFMS) is overvalued.