Recent trading patterns in the stock of Diamond Offshore Drilling, Inc. (NYSE:DO) have investors on high alert. Many experts agree that the best way to predict future performance is by studying the past. In the cast of DO, these trading patterns could have some important implications for future performance. In the most recent quarter, institutional ownership decreased by a net of 323072 shares, or 0.21%.This is a bearish sign and indicates that institutions are feeling more pessimistic about the outlook for DO overall.127 holders increased their positions, 127 decreased their positions, and 40 holders held their positions.

Among institutions that increased their positions, 32 were new positions. Among holders that decreased their positions, 59 sold out of the stock Diamond Offshore Drilling, Inc.. Insider ownership during the latest quarter decreased by a net of 0 shares, indicating that DO’s key executives are feeling more bearish about the stock than they did three months ago. Insider ownership during the last year has decreased by a net of 9783 shares. 16.67% of insider trades in the last 12 months were buys, and 83.33% were sells.

Over the past year, the price of Diamond Offshore Drilling, Inc. (DO) has decreased -14.24% while the S&P 500 has increased 19.49%. During the past 20 days, DO has increased 10.05% while the broad market has increased 1.94%. DO ‘s 20-day moving average currently sits below its 100-day moving average. This is a bearish signal that suggests the stock price might have farther to fall. DO’s average trading volume during the past 20 days is higher than the average volume over the past 100 days, which could be an indication that investors are feeling more certain than usual about the direction of DO’s future price movements.

Diamond Offshore Drilling, Inc. (NYSE:DO) has a 20-day RSI of 65.31%. According to this momentum indicator, a reading between 30 and 70 suggests the stock is not especially cheap or expensive, and not on the brink of a trend reversal. The MACD tells a different story. DO’s 9-day MACD currently sits below the 20-day MACD, indicating that DO’s upside momentum has decreased during the last three weeks. This suggests that the trend might soon reverse. DO’s average trading volatility during the past few weeks is -7.45% lower than the average volatility over the past 100 days. This means that the stock’s daily price swings have been less extreme in recent times compared to the past.

Analysts expect Diamond Offshore Drilling, Inc. (DO) to generate earnings per share of $0.91 in 2017. This works out to a decrease of -47.70% compared to last year’s earnings. For comparison’s sake, analysts expect the S&P 500 to grow earnings by an average of 12% in 2017. The average investment rating for DO on a scale of 1 to 5 (1 being a strong sell and 5 being a strong buy) is a 2.72 or a Moderate Sell. Three months ago, analysts assigned DO a 2.69 rating, which implies that analysts have become more optimistic about the outlook for the stock over the next year.