Recent insider trends for AngloGold Ashanti Limited (NYSE:AU) have caught the attention of investors. Patters in insider activity can help analysts formulate an outlook for a stock. In the case of AU, the data has a lot to say about how the stock might perform going forward.
Institutions own 31.54% of AngloGold Ashanti Limited (AU)’s shares. The total value of these holdings, in millions, is $1,319. Among active positions in the latest quarter, 62 holders increased their positions by a total of 15.14 million shares, 70 holders decreased the positions by a total of 8.69 million shares, and 28 holders held their positions. This works out to a net increase in ownership of 6.44 million shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 21 holders initiated new positions by a total of 3.8 million shares and 24 holders exited their positions by a total of 2.55 million shares. This nets out to an increase of 1.25 million shares and is a bullish sign for AU.
Insider ownership increased by a total of 0 shares, which suggests that AU’s key executives are feeling more optimistic about the outlook for the stock. The data from the past twelve months tells a similar story: and ownership increased by a net of 0 shares.
The analysis of insider buying and selling trends can be extended to the aggregate level. Short interest, which represents the number of a stock’s shares currently being shorted, captures what the market as a whole feels about a stock. AngloGold Ashanti Limited (NYSE:AU)’s short interest is 4.14 million shares, or 1.03% of the float. This represents an increase of 15% 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 AU is a buy, which implies that AU is expected to outperform 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 AngloGold Ashanti Limited (NYSE:AU) is undervalued.