A quick analysis of insider sale pattern shows significant negativity. StockJupiter.com tracks sales of key insiders, like CEO, CFO, Directors, 10% owner etc. CEOs and CFOs transactions are key here, especially from purchase point of view, as top insiders are unlikely to commit top personal dollars in expectations of gaming the stock price.
Technology, Healthcare, and Services show significant absolute sell activity; purchases in this sector far underperformed in Q1 2010.
Let us take a quick look at the ratio of insider purchases to insider sales - Significant sales were observed in Technology, Financials and Basic Material. However, Capital goods, Services and Energy show relatively higher ratio.
We recommend 'Hold' on Technology, Financials, and Basic Material Sector. Energy, Healthcare, Consumer Services and Capital good sectors expected to outperform. We also like Consumer non-cyclicals,which is expected show significant price movement in Q2 and Q3.
Note: This data is updated monthly on our site. Insider Sales and Purchases is one of our key 12 point criteria in our final stock pick.