Recent insider trends for Asanko Gold Inc. (NYSE:AKG) 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 AKG, the data has some interesting implications for where the stock might be headed.
Institutions own 48.46% of Asanko Gold Inc. (AKG)’s shares. The total value of these holdings, in millions, is $95. Among active positions in the latest quarter, 34 holders increased their positions by a total of 27.04 million shares, 30 holders decreased the positions by a total of 17.42 million shares, and 21 holders held their positions. This works out to a net increase in ownership of 9.62 million shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 11 holders initiated new positions by a total of 1.02 million shares and 13 holders exited their positions by a total of 2.15 million shares. This nets out to a decrease of 1.14 million shares and is another bearish sign for AKG.
Insider ownership increased by a total of 0 shares, which suggests that AKG’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 is another tool that analysts use to gauge investor sentiment. It represents the number of a stock’s shares that are being shorted by investors. Asanko Gold Inc. (NYSE:AKG)’s short interest is 4.67 million shares, or 2.50% 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 AKG is a Strong sell, which implies that AKG 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 Asanko Gold Inc. (NYSE:AKG) is overvalued.