Mar 25, 2016

Posted by in Stock Reports | 0 Comments

Significant Insider Selling Activity: Raytheon Company (NYSE:RTN), HCA Holdings Inc (NYSE:HCA), ServiceNow Inc (NYSE:NOW)

Significant Insider Selling Activity: Raytheon Company (NYSE:RTN), HCA Holdings Inc (NYSE:HCA), ServiceNow Inc (NYSE:NOW)

As a general rule, insider buying shows management’s confidence in the company, and is considered a bullish sign—in other words a sign that stock prices are likely to go up. Conversely, insider selling is considered bearish—those in the know may be off loading their stocks in an expectation that prices will soon fall. So it pays to keep an eye on the activities of insiders.

Studies have shown that prompt and timely dissemination of insider transactions are profitable for investors, as insiders tend to beat the market. The odds in favor of an insider purchase being followed by further purchases are three times greater than the odds of a purchase followed by a sale.

Raytheon Company (NYSE:RTN) saw an insider sell on Mar 24, 2016 that may make shareholders worried. Kennedy Thomas A, Chairman and CEO, sold 11,569 shares at $123.23 a piece. The total sale came to $1,425,592, leaving the total count to 115,560 shares. Its shares currently owned by company management are 0.20% while institutional investors own about 79.20%. The 6-month change recorded in total insider ownership was -5.77%. On the other side, -2.11% change in total institutional ownership has been reported for the 3-month period.

Moving on to the second insider trade which involved STEELE JOHN M, a SVP – Human Resources at HCA Holdings Inc (NYSE:HCA) sold 22,015 shares at $78.00 per share to trim the total holding at 10,734 shares. Its shares currently owned by company management are 0.50% while institutional investors own about 70.30%. The 6-month change recorded in total insider ownership was -13.90%. On the other side, -9.90% change in total institutional ownership has been reported for the 3-month period.

ServiceNow Inc (NYSE:NOW) also received some insider trading action as LUDDY FREDERIC B, who the company’s CHIEF PRODUCT OFFICER is sold some 97,500 shares at a price of $62.31 per share to the holding that now comprises of 650,000 shares. Its shares currently owned by company management are 0.40% while institutional investors own about 95.10%. The 6-month change recorded in total insider ownership was -76.33%. On the other side, 2.10% change in total institutional ownership has been reported for the 3-month period.

 

 

 

 

 

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