There is a relationship. Institutions still
maintain a 90% position in HMA. Their value has also
dropped, but let's not kid ourselves. The large volumes
traded in January are what led to the lower price, and
the Institutions probably saw a need to reduce their
positions (take some profits) all things considered.
The fact remains Institutions still maintain a large
position and don't benefit from a deminished stock price
either! So consider this a reflection of liquidity at a
share price that maintains order, and not at all a true
reflection of the real share value. Consider this rather an
opportunity to buy into a company that has a much greater
value than todays quoted price.
As for the analyst
and brokers; they are correct with their favorable
recommendations, but remember that they are in the business of
selling stock that they recommend, and make money no
matter what the trade price is.
With reduced or flat
earnings the momentum will remain low, and caution is
still advised if you expect a quick sustained turn up.
Flat earnings will not attract enough buyers to match
the imbalance of sellers, so the trend may continue
downward.
That said, this is a great long term investment
and the elevator will go back up one day. Question is
when to get on, and that's up to you. Forget the
analyst and do some basic DD!