Recent insider trends for Teva Pharmaceutical Industries Limited (NYSE:TEVA) have caught the attention of investors. Patters in insider activity can help analysts formulate an outlook for a stock. In the case of TEVA, the data has a lot to say about how the stock might perform going forward.
Institutions own 58.35% of Teva Pharmaceutical Industries Limited (TEVA)’s shares. The total value of these holdings, in millions, is $9,336. Among active positions in the latest quarter, 291 holders increased their positions by a total of 64.08 million shares, 326 holders decreased the positions by a total of 63.07 million shares, and 114 holders held their positions. This works out to a net increase in ownership of 1.01 million shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 57 holders initiated new positions by a total of 6.36 million shares and 87 holders exited their positions by a total of 17.16 million shares. This nets out to a decrease of 10.8 million shares and is another bearish sign for TEVA.
Insider ownership increased by a total of 0 shares, which suggests that TEVA’s key executives are feeling more optimistic about the outlook for the stock. The data from the past twelve months tells a similar story: ownership increased by a net of 0 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. Teva Pharmaceutical Industries Limited (NYSE:TEVA)’s short interest is 44.66 million shares, or % of the float. This represents an increase of 6% in the number of shares being shorted compared to the previous reading, and implies that investors felt more pessimistic about the stock during the past two weeks.
Ownership trends and trading patterns can be useful tools for predicting a stock’s performance, but it’s also important to consider the technicals in order to form a more comprehensive view. A composite of 13 technical indicators that includes measures such as moving averages and momentum oscillators suggests that TEVA is a Strong sell, which implies that TEVA 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 Teva Pharmaceutical Industries Limited (NYSE:TEVA) is overvalued.