There is a significant shift in institutional activity for Helen of Troy (NASDAQ: HELE) shares. The institutions shifted from selling to buying in Q3, creating a solid tailwind due to the high interest. Institutions own nearly 99% of this stock, leaving less than 1.5% for insiders, retail investors, and short-sellers. Coincidentally, the short interest is also high, over 10% in the last report and nearly 10% in mid-September, providing ample fuel for a short-covering rally.
The takeaway for investors is that consumer products maker Helen of Troy has hit its market bottom and is now set to rebound. The rebound will likely take time to develop but will deliver sufficient upside to make this investment more than interesting. Trading near a decade low, technical targets for the stock price suggest a nearly 50% upside with a chance for a full reversal. In that scenario, the stock could gain another 50% to 100% over the next few years.
Insider activity is also noteworthy—not because of its volume but because of its lack thereof. Data from Insidertrades.com shows that insiders haven't sold or purchased this stock since 2023, the last being CFO Brian L. Grass's purchase. The lack of sales is a sign of insider confidence; investors should not be surprised if insiders start buying shares at ...
