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Earlier this month, Bristol-Myers (NYSE:BMY) agreed to buy Inibitex, Inc. (NASDAQ:INHX) for $26 per share. Inhibitex surged on the news, more than doubling in a single day. These are the types of gains that keep biotech investors hungry for the next stock that might be trading for only a buck or two now, but might be trading for $10 or $20, or more, in a year or two. A number of high-potential biotech stocks are trading levels that appear to be solid buying opportunities. All of these stocks are trading well below their 52 week highs, all of them have significant pipeline potential, and some of them are even seeing insider buying. These stocks are at levels that could lead to a significant rally in 2012:

Complete Genomics, Inc., (NASDAQ:GNOM) provides human genome sequencing services and is based in California. These shares have a 52 week range of $2.49 and $18.55. The 50-day moving average is $3.36, and the 200-day moving average is $9.15. Analyst estimates for revenues are seen at about $21 million in 2011, and are expected to surge to about $37 million in 2012. That type of growth is hard to find, so this stock could be a good rebound candidate after having a tough 2011. The company recently expanded its lab in order to increase capacity. Oppenheimer recently downgraded this stock to "perform" from "outperform," and that put pressure on the stock. Still, the stock is rated as perform and it looks very cheap and oversold, since it is trading around book value.

Xenoport, Inc. (NASDAQ:XNPT) is a biotechnology company that is focused on neurological disorders and is based in California. These shares have traded in a range between $3.80 to $11.34 in the last 52 weeks. The 50-day moving average is $4.29, and the 200-day moving average is $6.34. XNPT is estimated to lose about 83 cents per share in 2011 and post a loss of about $1.52 per share for 2012. In the product development pipeline, Xenoport has candidates for restless legs syndrome and Parkinson's, which recently received negative results in clinical trials. That news caused a big drop in the share price. On the positive side, the FDA approved Xenoport's "Horizant" extended-release tablets in 2011, and GlaxoSmithKline (NYSE:GSK) is collaborating on this treatment. This company has a very strong balance sheet with no long term debt and about $103 million in cash. Insiders seem to think the stock is oversold. A director recently bought 10,000 shares.

Endocyte, Inc. (NASDAQ:ECYT) is a biotechnology company based in Indiana. These shares have traded in a range between $3.02 to $14.80 in the last 52 weeks. The 50-day moving average is $6.35, and the 200-day moving average is $10.13. ECYT is estimated to lose about $1.46 per share in 2011, and post a loss of about $1.21 per share for 2012. In the product development pipeline, Endocyte has a candidates for cancer and inflammatory diseases. The lead candidate is "EC145," which targets the folate receptor in certain cancers. ECYT shares plunged recently when disapointing results were announced with a potential ovarian cancer treatment. Endocyte was added to the NASDAQ Biotechnology Index in late 2011. A director recently bought 125,000 shares, which supports the view that this stock is oversold and a bargain.

Antares Pharma Inc., (AIS) is developing drug delivery technologies, including self-injection devices that allow patients to administer medicines by themselves. These shares have traded in a 52 week range between $1.36 to $2.65. The 50-day moving average is $2.32 and the 200-day moving average is $2.15. Earnings estimates for AIS are for a loss of 5 cents per share for 2011 and profit of 13 cents for 2012. Antares has partnership agreements with a number of well-known companies like Teva Pharmaceuticals (NYSE:TEVA), and it recently announced a deal to develop an undisclosed product for Pfizer (NYSE:PFE). The agreement with Pfizer states:

Pfizer will assume full cost and responsibility for all clinical development, manufacturing, and commercialization of the product in the licensed territory, which also includes certain non-exclusive territories outside of North America. Antares will receive undisclosed upfront payments, development milestones and sales based milestones, as well as royalties on net sales for three years post launch in the US.

This stock could be a turn out to be another biotech multi-bagger over time.

Inhibitex, Inc. was trading at $3.74 when I last wrote about it. Now it's trading for about $24 and has become one of greatest biotech stocks ever, as it was trading below $1 just about 3 years ago. Inhibitex is working on treatments for shingles (FV-100) and hepatitis C (INX-189). These shares have traded in a range between $1.74 to $5.23 in the last 52 weeks. The 50-day moving average is $13.55, and the 200-day moving average is $6.18. The company's hepatitis C candidate made the company a target, and ultimately Bristol-Myers decided to acquire the entire company and its pipeline.

Disclaimer: The data is sourced from Yahoo Finance. The information and data is believed to be accurate, but no guarantees or representations are made. Rougemont is not a registered investment advisor and does not provide specific investment advice. The information contained herein is for informational purposes.

Source: 4 Low-Priced Biotech Stocks Poised To Rally In 2012