Recent insider trends for Real Industry, Inc. (NASDAQ:RELY) 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 RELY, the data has some interesting implications for where the stock might be headed.
Institutions own 56.72% of Real Industry, Inc. (RELY)’s shares. The total value of these holdings, in millions, is $10. Among active positions in the latest quarter, 27 holders increased their positions by a total of 1.49 million shares, 30 holders decreased the positions by a total of 2.64 million shares, and 17 holders held their positions. This works out to a net decrease in ownership of 1.15 million shares, and suggests that institutions are feeling bearish about the stock.
Among new and sold out positions, 8 holders initiated new positions by a total of 352656 shares and 16 holders exited their positions by a total of 696945 shares. This nets out to a decrease of 344289 shares and is another bearish sign for RELY.
In the last three months, insiders executed a total of 5 trades. 4 of these were buys and 1 were sells. Insider ownership increased by a total of 18502 shares, which suggests that RELY’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 26 buys and 10 sells, and ownership increased by a net of 303077 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. Real Industry, Inc. (NASDAQ:RELY)’s short interest is 1.46 million shares, or 5.62% of the float. This represents a decrease of -16% in the number of shares being shorted compared to the previous reading, and implies that investors felt less 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 RELY is a Strong sell, which implies that RELY 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 Real Industry, Inc. (NASDAQ:RELY) is overvalued.