Recent insider trends for Juniper Networks, Inc. (NYSE:JNPR) have caught the attention of investors. Patters in insider activity can help analysts formulate an outlook for a stock. In the case of JNPR, the data has a lot to say about how the stock might perform going forward.
Institutions own 96.94% of Juniper Networks, Inc. (JNPR)’s shares. The total value of these holdings, in millions, is $9,217. Among active positions in the latest quarter, 295 holders increased their positions by a total of 60.64 million shares, 182 holders decreased the positions by a total of 67.2 million shares, and 73 holders held their positions. This works out to a net decrease in ownership of 6.56 million shares, and suggests that institutions are feeling bearish about the stock.
Among new and sold out positions, 71 holders initiated new positions by a total of 6.44 million shares and 46 holders exited their positions by a total of 3.87 million shares. This nets out to an increase of 2.57 million shares and is a bullish sign for JNPR.
In the last three months, insiders executed a total of 4 trades. 1 of these were buys and 3 were sells. Insider ownership decreased by a total of 14000 shares, which suggests that JNPR’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 10 buys and 74 sells, and ownership decreased by a net of 2.3 million shares.
Short interest, or the number of a stock’s tradable shares currently being shorted, is another metric investors use to get a pulse on sentiment. Juniper Networks, Inc. (NYSE:JNPR)’s short interest is 20.98 million shares, or 5.63% of the float. This represents a decrease of -15% 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 JNPR is a Weak sell, which implies that JNPR 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 Juniper Networks, Inc. (NYSE:JNPR) is overvalued.