Recent insider trends for Mattel, Inc. (NASDAQ:MAT) 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 MAT, the data has some interesting implications for where the stock might be headed.
Institutions own 111.26% of Mattel, Inc. (MAT)’s shares. The total value of these holdings, in millions, is $6,100. Among active positions in the latest quarter, 194 holders increased their positions by a total of 91.82 million shares, 254 holders decreased the positions by a total of 47.57 million shares, and 71 holders held their positions. This works out to a net increase in ownership of 44.25 million shares, and suggests that institutions are feeling bullish about the stock.
Among new and sold out positions, 32 holders initiated new positions by a total of 15.91 million shares and 87 holders exited their positions by a total of 16.2 million shares. This nets out to a decrease of 284307 shares and is another bearish sign for MAT.
In the last three months, insiders executed a total of 3 trades.3 were sells. Insider ownership decreased by a total of 64443 shares, which suggests that MAT’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 5 buys and 28 sells, and ownership decreased by a net of 174292 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. Mattel, Inc. (NASDAQ:MAT)’s short interest is 75.68 million shares, or 22.13% of the float. This represents a decrease of -1% 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.
Supplementing insider data with technical indicators can help an investor form a more complete view on the outlook for a stock. A composite of 13 technical indicators that includes measures such as moving averages and momentum oscillators suggests that MAT is a sell, which implies that MAT 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 Mattel, Inc. (NASDAQ:MAT) is overvalued.