Recent insider trends for Health Insurance Innovations, Inc. (NASDAQ:HIIQ) have caught the attention of investors. Insider activity is often a strong indicator of future performance in a stock, and if the data on HIIQ is anything to go by, investors should pay attention.
Institutions own 88.52% of Health Insurance Innovations, Inc. (HIIQ)’s shares. The total value of these holdings, in millions, is $194. Among active positions in the latest quarter, 70 holders increased their positions by a total of 5.34 million shares, 45 holders decreased the positions by a total of 2.15 million shares, and 8 holders held their positions. This works out to a net increase in ownership of 3.2 million shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 48 holders initiated new positions by a total of 3.17 million shares and 19 holders exited their positions by a total of 989154 shares. This nets out to an increase of 2.18 million shares and is a bullish sign for HIIQ.
In the last three months, insiders executed a total of 22 trades. 1 of these were buys and 21 were sells. Insider ownership decreased by a total of 170438 shares, which suggests that HIIQ’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 16 buys and 98 sells, and ownership decreased by a net of 3.65 million 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. Health Insurance Innovations, Inc. (NASDAQ:HIIQ)’s short interest is 3.72 million shares, or 62.53% of the float. This represents an increase of 35% 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 HIIQ is a Weak sell, which implies that HIIQ 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 bearish. Technical indicators (also) suggest that Health Insurance Innovations, Inc. (NASDAQ:HIIQ) is overvalued.