Four insiders sold BioDelivery Sciences stock within one month.
The stock was not purchased by any insiders in the month of intensive selling.
Three of these four insiders decreased their holdings by more than 10%.
BioDelivery Sciences International (NASDAQ:BDSI) engages in the development and commercialization of therapeutics in the areas of pain management and oncology supportive care.
Insider selling during the last 30 days
Here is a table of BioDelivery Sciences' insider activity during the last 30 days.
|Name||Title||Trade Date||Shares Sold||Rule 10b5-1||Current Ownership||Decrease In Ownership|
|Frank O'Donnell||Executive Chairman||March 26||50,000||No||2,472,606 shares||2.0%|
|Samuel Sears||Director||March 20||4,000||No||19,853 shares||16.8%|
|William Stone||Director||March 11||35,000||Yes||63,178 shares||35.7%|
|Andrew Finn||EVP||March 10-11||80,000||Yes||660,450 shares||10.8%|
There have been 169,000 shares sold by insiders during the last 30 days. William Stone and Andrew Finn sold shares pursuant to the Rule 10b5-1 plan. More details about the Rule 10b5-1 trading plan can be found from this link.
Insider selling by calendar month
Here is a table of BioDelivery Sciences' insider activity by calendar month.
|Month||Insider selling / shares||Insider buying / shares|
There have been 1,117,906 shares sold, and there have been 20,837 shares purchased by insiders since January 2013.
BioDelivery Sciences reported the full-year 2013 financial results on March 14 with the following highlights:
|Net loss||$57.4 million|
Two of these four insiders sold their shares after these results.
On February 13, BioDelivery Sciences closed a $60 million financing.
Pipeline and upcoming milestones
BioDelivery Sciences has one approved product and several product candidates in the pipeline.
(Source: BioDelivery Sciences)
BioDelivery Sciences' upcoming milestones include the following.
(Source: Investor presentation)
BioDelivery Sciences' competitors include Teva Pharmaceutical Industries (NYSE:TEVA) with Actiq and Fentora, Galena Biopharma (NASDAQ:GALE) with Abstral, and DepoMed (NASDAQ:DEPO) with Lazanda. Here is a table comparing these companies.
|Qtrly Rev Growth (yoy):||-0.80||0.03||N/A||0.53|
|PEG (5 yr expected):||N/A||11.69||N/A||-5.87|
BioDelivery Sciences has the highest insider ownership among these four companies.
Here is a table of these competitors' insider activities this year.
|Company||Insider buying / shares||Insider selling / shares|
DepoMed has also seen intensive insider selling during the last 30 days.
There have been four different insiders selling BioDelivery Sciences, and there have not been any insiders buying BioDelivery Sciences during the last 30 days. Three of these four insiders decreased their holdings by more than 10%. BioDelivery Sciences has an insider ownership of 17.83%.
Before going short BioDelivery Sciences, I would like to get a bearish confirmation from the Point & 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.