Recent insider trends for Digital Power Corporation (NYSE:DPW) have caught the attention of investors. Patters in insider activity can help analysts formulate an outlook for a stock. In the case of DPW, the data has a lot to say about how the stock might perform going forward.
Institutions own 02.79% of Digital Power Corporation (DPW)’s shares. The total value of these holdings, in millions, is $0. Among active positions in the latest quarter, 7 holders increased their positions by a total of 160114 shares, 1 holders decreased the positions by a total of 50700 shares, and 1 holders held their positions. This works out to a net increase in ownership of 109414 shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 4 holders initiated new positions by a total of 116477 shares and 0 holders exited their positions by a total of 0 shares. This nets out to an increase of 116477 shares and is a bullish sign for DPW.
In the last three months, insiders executed a total of 2 trades. 2 of these were buys. Insider ownership increased by a total of 75100 shares, which suggests that DPW’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 19 buys, and ownership increased by a net of 88650 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. Digital Power Corporation (NYSE:DPW)’s short interest is 512000 shares, or 8.89% of the float. This represents an increase of 3% 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.
Given what the insider ownership patterns are saying, it makes sense to consider the technicals to see if these pieces of information reach the same conclusion about the outlook for DPW. A composite of 13 technical indicators that includes measures such as moving averages and momentum oscillators suggests that DPW is a Strong buy, which implies that DPW 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 Digital Power Corporation (NYSE:DPW) is undervalued.