Ciena Corporation (CIEN) And Joy Global Inc. (JOY) Trending In Different Directions After Sales Misses

Another useful metric as far as judging a company’s future prospects is concerned is insider trading. Ciena Corporation (NYSE:CIEN)’s CEO Smith has disposed of some 13,600 shares so far this year, while Senior Vice President Stephen Alexander has sold some 7,000 shares during the same period. Although no insider sales have been detected at Joy Global Inc. (NYSE:JOY) this year, two prominent insider purchases occurred in June, including a purchase of 5,000 shares by Director Richard Loynd, and 7,750 shares acquired by CEO Doheny. It is important to note that insider purchases are a much more reliable signal than insider sales, which do not necessarily translate into a bearish outlook owing to a large possible set of reasons underpinning them.

Owing to the current bearish sentiment surrounding both companies, we wouldn’t advise investors to buy either, especially when there are other less-risky opportunities available on the market.

Disclosure: None