Recent insider trends for Viacom, Inc. (NASDAQ:VIAB) 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 VIAB, the data has some interesting implications for where the stock might be headed.
Institutions own 91.21% of Viacom, Inc. (VIAB)’s shares. The total value of these holdings, in millions, is $8,111. Among active positions in the latest quarter, 277 holders increased their positions by a total of 45.01 million shares, 256 holders decreased the positions by a total of 34.08 million shares, and 98 holders held their positions. This works out to a net increase in ownership of 10.93 million shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 65 holders initiated new positions by a total of 13.45 million shares and 82 holders exited their positions by a total of 8.18 million shares. This nets out to an increase of 5.28 million shares and is a bullish sign for VIAB.
Insider ownership increased by a total of 0 shares, which suggests that VIAB’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.
Comparing the number of shares sold short over time is a method analysts often use to get a reading on investor sentiment. Viacom, Inc. (NASDAQ:VIAB)’s short interest is 25.71 million shares, or 7.23% of the float. This represents an increase of 1% 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 VIAB is a Strong sell, which implies that VIAB 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 Viacom, Inc. (NASDAQ:VIAB) is overvalued.