Emily Gottschalk, a director at Anixa Biosciences (ANIX) recently bought 10,000 shares. The buy increased her stake by 64 percent, and came to a total cost of just under $45,000.
Insiders, including the company directors and C-suite executives alike, have been steady buyers in the past three years, with no insider sales. Overall, company insiders own about 9 percent of company shares.
Company insiders have been willing to buy shares anywhere between $2 and $5, where they’ve largely traded over the past year. Shares saw a spike higher in 2020 thanks to the company’s Covid-related work, but have since come back down.
Anixa is a biotech company developing therapies and vaccines related to oncology and infectious diseases. The company has worked on anti-viral drug treatments for Covid-19 strains, as well as vaccines for ovarian and breast cancer.
Action to take: While an early-stage biotech company and unprofitable, shares are up 140 percent over the past year. The company has ample cash on its balance sheet and nearly no debt, so it can continue working on Covid and non-Covid processes alike. Shares are attractive under $5.00, as a potential trade up to the $8 or $9 range in the next few months.
For traders, there are a few options trades available. The July $7.50 calls look interesting. While shares would need to move 50 percent higher to move in-the-money, there’s a large volume and open interest there already, and the option has a bid/ask price near $0.55.
Disclosure: The author of this article has no positions in the stock mentioned here, and has no intention to make a trade on this company after the next 72 hours. The author receives no compensation from any of the companies mentioned in this article.