BioCryst Pharmaceuticals: 3 Different Insiders Have Sold Shares This Month


The stock was sold by three insiders within one month.

The stock was not purchased by any insiders in the month of intensive selling.

Two of these three insiders decreased their holdings by more than 10%.

BioCryst Pharmaceuticals (NASDAQ:BCRX) designs, optimizes, and develops novel drugs that block key enzymes involved in the pathogenesis of diseases.

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Insider selling during the last 30 days

Here is a table of BioCryst's insider activity during the last 30 days.

Name Title Trade Date Shares Sold Rule 10b5-1 Current Ownership Decrease In Ownership
Yarlagadda Babu SVP March 4 40,642 No 208,195 shares 16.3%
Alane Barnes VP March 4 40,734 No 71,622 shares + 190,826 options 13.4%
Thomas Staab CFO March 4 3,000 No 126,616 shares + 28,000 options 1.9%
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There have been 84,376 shares sold by insiders during the last 30 days.

Insider selling by calendar month

Here is a table of BioCryst's insider activity by calendar month.

Month Insider selling / shares Insider buying / shares
March 2014 84,376 0
February 2014 0 0
January 2014 0 0
December 2013 0 0
November 2013 0 3,000
October 2013 0 0
September 2013 0 0
August 2013 0 1,136,364
July 2013 0 0
June 2013 0 0
May 2013 0 0
April 2013 0 0
March 2013 0 3,000
February 2013 0 0
January 2013 0 0
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There have been 84,376 shares sold, and there have been 1,142,364 shares purchased by insiders since January 2013.


BioCryst reported the full-year 2013 financial results on February 26 with the following highlights:

Revenue $17.3 million
Net loss $30.1 million
Cash $40.8 million
Debt $30.0 million
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(Source: Earnings presentation)

The three insiders sold their shares after these results.


BioCryst expects its 2014 net operating cash use to be in the range of $35 million to $43 million, and its operating expenses to be in the range of $48 million to $59 million. In addition, based upon forecasted development activity and the related revenue under the company's U.S. Government contracts, BioCryst expects its 2014 revenue to decrease from 2013 levels.

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(Source: Investor presentation)


BioCryst's core development programs include BCX4161 and two second generation oral inhibitors of plasma kallikrein for hereditary angioedema; peramivir, a viral neuraminidase inhibitor for the treatment of influenza and BCX4430, a broad spectrum antiviral for hemorrhagic fevers.

Peramivir has been approved in Japan and Korea. It is estimated that more than one million patients have received peramivir treatment to date.

(Source: BioCryst)

Upcoming milestones

BioCryst's upcoming milestones include the following.

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(Source: Investor presentation)


BioCryst's peramivir competitors include GlaxoSmithKline (NYSE:GSK) with Relenza, and Roche (OTCQX:RHHBY) with Tamiflu. Here is a table comparing these companies.

Market Cap: 677.18M 133.03B 125.83B
Employees: 40 99,451 85,080
Qtrly Rev Growth (yoy): 1.58 0.02 0.01
Revenue: 17.33M 42.60B 52.08B
Gross Margin: -1.18 0.70 0.75
EBITDA: -25.39M 13.94B 20.03B
Operating Margin: -1.48 0.28 0.34
Net Income: -30.11M 8.74B 11.96B
EPS: -0.55 3.55 3.46
P/E: N/A 15.63 10.69
PEG (5 yr expected): -2.87 1.59 2.53
P/S: 41.97 3.14 2.44
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BioCryst has the highest P/S ratio among these three companies. BioCryst's peramivir has a PDUFA action date on December 23.


There have been three different insiders selling BioCryst, and there have not been any insiders buying BioCryst during the last 30 days. Two of these three insiders decreased their holdings by more than 10%. BioCryst has an insider ownership of 2.00%.

Before going short BioCryst, I would like to get a bearish confirmation from the Point and Figure chart. The main reason for the proposed short entry is the intensive insider-selling activity.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within 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.