Recent insider trends for ITUS Corporation (NASDAQ:ITUS) 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 ITUS, the data has some interesting implications for where the stock might be headed.
Institutions own 00.97% of ITUS Corporation (ITUS)’s shares. The total value of these holdings, in millions, is $0. Among active positions in the latest quarter, 5 holders increased their positions by a total of 18637 shares, 2 holders decreased the positions by a total of 138 shares, and 8 holders held their positions. This works out to a net increase in ownership of 18499 shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 4 holders initiated new positions by a total of 14525 shares and 1 holders exited their positions by a total of 137 shares. This nets out to an increase of 14388 shares and is a bullish sign for ITUS.
In the last three months, insiders executed a total of 4 trades. 4 of these were buys. Insider ownership increased by a total of 200000 shares, which suggests that ITUS’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 7 buys and 1 sells, and ownership increased by a net of 229196 shares.
The analysis of insider buying and selling trends can be extended to the aggregate level. Short interest, which represents the number of a stock’s shares currently being shorted, captures what the market as a whole feels about a stock. ITUS Corporation (NASDAQ:ITUS)’s short interest is 1.61 million shares, or 20.96% of the float. This represents an increase of 191% 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.
Insider data can help an investor form an outlook on a stock, but it’s important to supplement this data with other information such as technical indicators to form a more complete view. A composite of 13 technical indicators that includes measures such as moving averages and momentum oscillators suggests that ITUS is a Strong buy, which implies that ITUS 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 ITUS Corporation (NASDAQ:ITUS) is undervalued.