Turbo Global Partners Inc. (TRBO)

[SittingPretty]

It is impossible to assign the total value of a stock's declines to sales. The timing of sales and concurrent declines in those share prices should leave investors with the understanding that institutional selling does not help a stock go up. Also, the sales are often a harbinger of things to come, due to the access and expertise of these institutions - remember they all have analysts working for them.

The big lesson here is that institutional selling can send a stock into a downdraft regardless of the underlying fundamentals of the company.

Investors should be aware that although a fund may get involved in a stock with the intention of doing something good, the road can be difficult and the share price could, and often does, wane until the outcome becomes more certain.

The Bottom Line
Individual investors should not only be aware of which firms have an ownership position in a given stock, but also of the potential for other firms to acquire shares and reasons that a current owner might liquidate its position. Institutional owners have the power to both create and destroy value for individual investors. As a result, it is important that investors keep tabs on and react to the moves the stock's biggest players are making.

Ref: Google Research