Recent insider trends for Barrick Gold Corporation (NYSE:ABX) have caught the attention of investors. Patters in insider activity can help analysts formulate an outlook for a stock. In the case of ABX, the data has a lot to say about how the stock might perform going forward.
Institutions own 55.75% of Barrick Gold Corporation (ABX)’s shares. The total value of these holdings, in millions, is $8,951. Among active positions in the latest quarter, 194 holders increased their positions by a total of 41.3 million shares, 178 holders decreased the positions by a total of 41.06 million shares, and 106 holders held their positions. This works out to a net increase in ownership of 235736 shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 52 holders initiated new positions by a total of 8.62 million shares and 30 holders exited their positions by a total of 2.62 million shares. This nets out to an increase of 6 million shares and is a bullish sign for ABX.
Insider ownership increased by a total of 0 shares, which suggests that ABX’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, or the number of a stock’s tradable shares currently being shorted, is another metric investors use to get a pulse on sentiment. Barrick Gold Corporation (NYSE:ABX)’s short interest is 13.82 million shares, or 1.19% of the float. This represents an increase of 20% 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.
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 ABX is a Strong sell, which implies that ABX 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 Barrick Gold Corporation (NYSE:ABX) is overvalued.