Insiders Love These 10 Outperforming Healthcare Stocks

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Includes: ETRM, FOLD, GHDX, INCY, INVA, MDGL, PCRX, PCYC, RPRX, WMGI
by: Kapitall

Wish you could get an inside peek at your favorite companies? One idea is to look at a company's insider stock purchases, which can indicate how company insiders feel about their company's prospects. To illustrate, we ran a screen.

We began by screening the healthcare sector for stocks that have outperformed the market over the last quarter, with quarterly performance above 10%.

We then screened for stocks with the confidence of their company insiders, such as members of the board and upper management, with significant net insider purchases over the last six months representing at least 2% of share float. Since most companies only have a handful of company insiders, net insider purchases representing 2% of share float is a big show of confidence in their employer's prospects.

For an interactive version of this chart, click on the image below.

Tool provided by Kapitall.

Do you think these insiders are calling it right? Use this list as a starting point for your own analysis.

List sorted by net insider purchases as a percent of share float.

1. Theravance Inc. (THRX): Engages in the discovery, development, and commercialization of small molecule medicines for various therapeutic areas, including respiratory disease, bacterial infections, and central nervous system/pain. Market cap at $2.39B. Price at $28.08. Performance over the last quarter at 19.77%. Over the last six months, insiders were net buyers of 10,104,021 shares, which represents about 21.35% of the company's 47.33M share float.

2. Genomic Health Inc. (GHDX): Focuses on the development and global commercialization of genomic-based clinical laboratory services that analyze the underlying biology of cancer allowing physicians and patients to make individualized treatment decisions. Market cap at $1.09B. Price at $36.78. Performance over the last quarter at 19.56%. Over the last six months, insiders were net buyers of 2,890,046 shares, which represents about 15.69% of the company's 18.42M share float.

3. EnteroMedics, Inc. (ETRM): Focuses on the design and development of devices that use neuroblocking technology to treat obesity and associated co-morbidities, and other gastrointestinal disorders. Market cap at $126.88M. Price at $3.61. Performance over the last quarter at 31.58%. Over the last six months, insiders were net buyers of 2,164,479 shares, which represents about 14.83% of the company's 14.60M share float.

4. Repros Therapeutics Inc. (RPRX): Market cap at $122.41M. Price at $8.34. Performance over the last quarter at 103.45%. Over the last six months, insiders were net buyers of 562,500 shares, which represents about 5.88% of the company's 9.57M share float.

5. Wright Medical Group Inc. (WMGI): Engages in the design, manufacture, and marketing of devices and biologic products for the extremity, hip, and knee repair and reconstruction. Market cap at $849.49M. Price at $21.47. Performance over the last quarter at 13.68%. Over the last six months, insiders were net buyers of 1,649,234 shares, which represents about 5.59% of the company's 29.49M share float.

6. Amicus Therapeutics, Inc. (FOLD): Focuses on the discovery, development, and commercialization of orally-administered, small molecule drugs for the treatment of various human genetic diseases. Market cap at $286.63M. Price at $5.95. Performance over the last quarter at 20.23%. Over the last six months, insiders were net buyers of 1,140,000 shares, which represents about 4.69% of the company's 24.32M share float.

7. Pharmacyclics Inc. (PCYC): Operates as a clinical-stage biopharmaceutical company focusing on developing and commercializing small-molecule drugs for the treatment of immune mediated disease and cancer. Market cap at $4.07B. Price at $57.66. Performance over the last quarter at 105.26%. Over the last six months, insiders were net buyers of 2,054,434 shares, which represents about 4.55% of the company's 45.18M share float.

8. Incyte Corporation (INCY): Focuses on the discovery and development of proprietary small molecule drugs for hematologic and oncology indications, and inflammatory and autoimmune diseases. Market cap at $3.24B. Price at $26.07. Performance over the last quarter at 29.25%. Over the last six months, insiders were net buyers of 4,585,074 shares, which represents about 3.63% of the company's 126.24M share float.

9. Synta Pharmaceuticals Corp. (SNTA): Focuses on the discovery, development, and commercialization of small molecule drug candidates for treating severe medical conditions, including cancer and chronic inflammatory diseases. Market cap at $376.39M. Price at $6.90. Performance over the last quarter at 60.84%. Over the last six months, insiders were net buyers of 1,243,920 shares, which represents about 3.37% of the company's 36.91M share float.

10. Pacira Pharmaceuticals Inc. (PCRX): Engages in the development, commercialization, and manufacture of pharmaceutical products for hospitals and ambulatory surgery centers. Market cap at $512.92M. Price at $16.07. Performance over the last quarter at 46.40%. Over the last six months, insiders were net buyers of 511,422 shares, which represents about 3.07% of the company's 16.64M share float.

*Insider data sourced from Yahoo! Finance, all other data sourced from Finviz.

 

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.