Insiders Are Buying Repros Therapeutics

Nov.15.13 | About: Repros Therapeutics (RPRX)

In this article, I will feature one biotech company that has seen intensive insider buying during the last 30 days. Intensive insider buying can be defined by the following three criteria:

  1. The stock is purchased by three or more insiders within one month.
  2. The stock is sold by no insiders in the month of intensive purchasing.
  3. At least two purchasers increase their holdings by more than 10%.

Repros Therapeutics (NASDAQ:RPRX), a development stage biopharmaceutical company, engages in the development of new drugs to treat hormonal and reproductive system disorders.

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Insider buying during the last 30 days

Here is a table of Repros Therapeutics' insider-trading activity during the last 30 days by insider.

Name Title Trade Date Shares Purchased Current Ownership Increase In Shares
Daniel Cain Director Nov 12 500 1,000 shares +100%
Joseph Podolski CEO Oct 25 3,000 58,945 shares +5.4%
Katherine Anderson CFO Oct 25 1,000 6,375 shares +18.6%
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There have been 4,500 shares purchased by insiders during the last 30 days.

Insider buying by calendar month

Here is a table of Repros Therapeutics' insider-trading activity by calendar month.

Month Insider buying / shares Insider selling / shares
November 2013 500 0
October 2013 5,000 0
September 2013 0 0
August 2013 0 0
July 2013 0 0
June 2013 0 0
May 2013 0 0
April 2013 0 0
March 2013 0 0
February 2013 1,000 0
January 2013 0 0
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There have been 6,500 shares purchased and there have been zero shares sold by insiders this year. The month of October has seen the most insider buying.

Financials

Repros reported the third-quarter financial results on November 7 with the following highlights:

Revenue $3,000
Net loss $6.0 million
Cash $81.8 million
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Pipeline and upcoming milestones

Repros' pipeline consists of the following:

Androxal For men of reproductive age with low testosterone due to secondary hypogonadism.
Proellex For women with uterine fibroids and endometriosis.
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(Source: Repros)

Repros has the following upcoming milestones:

Product Milestone
Androxal NDA-submission in Q4/2014
Proellex Phase 2b study start in early 2014
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Competition

Androxal's competitors include the following:

Product Marketed by
AndroGel Abbott Laboratories (NYSE:ABT)
Testim Auxilium Pharmaceuticals (NASDAQ:AUXL)
AndroDerm Actavis (ACT)
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Proellex' competitors include the following:

Product Marketed by
Lupron Abbott
Esmya Actavis
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Here is a table of these competitors' insider-trading activities this year.

Company Insider buying / shares Insider selling / shares
ABT 10,000 77,344
AUXL 0 3,900
ACT 0 319,406
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Only Repros has seen intensive insider buying during the last 30 days.

Conclusion

There have been three different insiders buying Repros and there have not been any insiders selling Repros during the last 30 days. Two of these three insiders increased their holdings by more than 10%. Repros has an insider ownership of 0.30%.

There are five analyst buy ratings, zero neutral ratings, and zero sell ratings with an average price target of $32.00. The stock plunged on October 23, which was due to the delay in the potential approval of Androxal. The insiders started buying shares after this drop in the share price. I believe the stock could be a good speculative pick from the current price level based on the intensive insider buying.

Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in RPRX over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.