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We've created an interesting list for anyone who follows the buying trends of company insiders or institutional investors. We screened for stocks that have been underperforming over the latest quarter, with a less than -20% return. We searched this universe for stocks also seeing significant net buying interest from institutional investors over the current quarter and company insiders over the last six months.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.





We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.



List sorted by net insider purchases as a percent of share float.

1. AbitibiBowater Inc. Common Stoc (ABH): Paper & Paper Products Industry. Market cap of $1.73B. The stock has lost 33.26% over the last quarter. Net institutional shares purchased over the current quarter at 4.9M, which is 5.95% of the company's 82.31M share float. Net insider purchases over the last six months at 3.61M, which is 4.38% of the company's share float. The stock is a short squeeze candidate, with a short float at 9.87% (equivalent to 11.26 days of average volume). It's been a rough couple of days for the stock, losing 7.12% over the last week.

2. US Gold Corporation (UXG): Gold Industry. Market cap of $887.51M. The stock has lost 26.69% over the last quarter. Net institutional shares purchased over the current quarter at 18.8M, which is 17.49% of the company's 107.47M share float. Net insider purchases over the last six months at 3.07M, which is 2.85% of the company's share float. It's been a rough couple of days for the stock, losing 6.06% over the last week.

3. Global Partners LP (GLP): Basic Materials Wholesale Industry. Market cap of $456.20M. The stock has lost 21.32% over the last quarter. Net institutional shares purchased over the current quarter at 816.9K, which is 11.82% of the company's 6.91M share float. Net insider purchases over the last six months at 37.40K, which is 0.54% of the company's share float. The stock has performed poorly over the last month, losing 14.96%.

4. Hypercom Corp. (HYC): Business Equipment Industry. Market cap of $533.04M. The stock has lost 26.40% over the last quarter. Net institutional shares purchased over the current quarter at 3.7M, which is 8.28% of the company's 44.71M share float. Net insider purchases over the last six months at 145.29K, which is 0.32% of the company's share float. This is a risky stock that is significantly more volatile than the overall market (beta = 2.05). The stock has performed poorly over the last month, losing 13.22%.

5. Mercer International Inc. (MERC): Paper & Paper Products Industry. Market cap of $419.61M. The stock has lost 22.64% over the last quarter. Net institutional shares purchased over the current quarter at 3.7M, which is 10.69% of the company's 34.60M share float. Net insider purchases over the last six months at 98.53K, which is 0.28% of the company's share float. This is a risky stock that is significantly more volatile than the overall market (beta = 3.33). The stock has gained 70.18% over the last year.

6. Entercom Communications Corp. (ETM): Broadcasting Industry. Market cap of $302.21M. The stock has lost 23.74% over the last quarter. Net institutional shares purchased over the current quarter at 2.0M, which is 10.47% of the company's 19.10M share float. Net insider purchases over the last six months at 37.20K, which is 0.19% of the company's share float. This is a risky stock that is significantly more volatile than the overall market (beta = 2.7). The stock is a short squeeze candidate, with a short float at 13.8% (equivalent to 15.86 days of average volume). It's been a rough couple of days for the stock, losing 6.09% over the last week.

Institutional data sourced from Fidelity, insider data sourced from Yahoo Finance, all other data sourced from Finviz.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: 6 Underperforming Stocks Being Bought by Insiders and Smart Money