Insider sentiment is turning bearish (30-day S/B Ratio 2.1) as selling outpaces buying by 2.5 to 1 this past week. However, there are still opportunities for investors as we’ve upgraded three stocks, including a waste management company (RSG +N), an energy producer (COP +N), and a computer hardware company (NSIT +1), with insider buying in the latter while it’s near a multi-year high. On the other hand, we downgraded one stock, GoPro (GPRO -N), as four officers and a director have made recent sales
Overall, February is typically a busy month for insiders due to trading restrictions lifted after reporting year end results, but this February insiders have been on the sidelines. Through February 27th we have upgraded 20 stocks in the month and downgraded 4, both low figures.
With a few weeks left in Q1 for potentially active insider trading, investors should be cautious as sentiment continues to deteriorate due to light buying and moderate selling.