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SQBlueSky is a financial research data and software company. We provide custom data feeds and APIs on insider trades and SEC filings. We also have online tools for hedge funds and audit firms to perform financial research. All analysis for any articles witten by SQBlueSky is done using the... More
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  • Weekly Insider Purchase Report (10/1/2012 – 10/5/2012)

    The top insider purchase on our weekly Top 25 buy list was 282,403 shares of kidney care provider DaVita, Inc. (DVA) by Berkshire Hathaway Inc. (BRK.A, BRK.B). The shares were purchased on 9/26, 9/27, and 9/28 and reported on 10/1. With these purchases Berkshire raised their ownership to 10.8%.

    Here's the full report:

    (click to enlarge)

    Also, here's the same data sorted by sector:

    (click to enlarge)

    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.

    Additional disclosure: SQBlueSky is a financial information and solutions provider. SQBlueSky is not a registered investment advisor and does not provide specific investment advice. The information contained herein is for informational and recreational purposes only, and is meant to serve as an example of the analysis that can be done with SQBlueSky data and tools. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock you should do your own research and reach your own conclusion. It is up to investors to make the correct decision after necessary research. The information and data is provided as is and is believed to be accurate, but no guarantees or representations are made as to the accuracy or completeness of the data. The article has been written entirely by editors at SQBlueSky and the firm or its employees are not receiving compensation for it (other than any that may be received from Seeking Alpha). The company does not have any business relationship with any firm whose stock is mentioned in this article.

    Oct 09 3:36 PM | Link | Comment!
  • Top Three Free Must-Know Resources To Make Money From Biotech Stocks

    Biotech and pharmaceutical stocks can be volatile, so investors need to do their due diligence and collect the proper information before investing in these companies. Luckily, there are a lot of free options for the diligent researcher to go to.

    Because FDA approval of a new drug a major event for a company, you can expect to see some fluctuation in the stock price around those events. Therefore, we suggest that the first place you stop for important information is the Food and Drug Administration (FDA).

    The FDA Website

    All drugs must be approved by the FDA before they reach a pharmacy shelf. Prior to approval, drugs go through extensive testing, clinical trials, and advisory committee reviews before obtaining final approval.

    There is a fairly overwhelming amount of information about drug approval on the FDA website, so to cut to the chase, here is a handy cheat-sheet in infographic form from the FDA.

    One of the most important steps in the drug approval process happens after the drug makes it through clinical trials: the advisory committee review. The pharmaceutical company has to submit all its test results and make a presentation to the committee. Meeting materials are usually available online to the public two business days before the advisory committee meeting.

    One example of this is Gilead Science GILD, which made a presentation about its upcoming HIV drug on May 11, 2012. All advisory committee meetings are open to the public in Washington, D.C., and these meetings are publicized on the Advisory Committee Calendar.

    These meetings can provide important strategic information for investors because sometimes, after the meeting is completed, and the committee provides positive feedback to the pharmaceutical company, the stock price will jump. For example, Arena ARNA met with the Advisory Committee on May 10, 2012 and its stock jumped after positive feedback from the committee.

    Company Website

    Company Press Releases on their website are a great source of information. On May 11, after the advisory committee provided positive feedback for Gilead Science's HIV drug, Quad, the company reported that they had set a target action date under the Prescription Drug User Fee Act (PDUFA) of August 27, 2012. The PDUFA date is the final drug approval date, and while it is not mandatory for the FDA to follow the advisory committee's decision, the FDA will usually approve the drug if committee provided positive feedback. While you can find the PDUFA date on the FDA website, but the company press releases are an easier source. In addition to the press release, you will also be able to find a company conference call dates, at which time the approval of specific drugs will be discussed. Stock research analysts from major brokerage wire houses like Merrill Lynch, JP Morgan and Goldman Sachs will be on the call, asking the management team questions that can provide valuable insight to the future of the company.

    SEC Filings on the SEC website

    Recent SEC filings can reveal detailed information that is not mentioned in the company's press release. For example, in light of a pending FDA approval, you may check the latest earnings statement for a company to get more insight into the financial health of the company. After releasing its 10-Q quarterly report on Aug 1, 2012, Gilead Science reached a 52-week high of $58.84 the next day.

    SEC filings also reveal corporate insider buying and selling. In a previous article, we dove deeper on corporate insider trading patters following FDA approval.

    All three resources mentioned here are free, and while you may have to wade through numerous pages to get to the ones you want to read, for the cost-conscious investor who is willing to do their due diligence, they provide a treasure trove of useful information about the biotech stocks that you are researching. In fact, many professional stock research analysts use the same information mentioned above to write their research reports. You can do the analysis, and make you own intelligent investment decisions.

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

    Aug 16 4:21 PM | Link | Comment!
  • Frost Continues To Buy Opko While Stock Price Sinks

    Dr. Phillip Frost, CEO and Chairman of Opko Health (OPK), has been steadily increasing his stake in the healthcare company this past month, purchasing hundreds of thousands of shares through Frost Gamma Investments Trust while the stock price dropped 12% to a year-to-date low just under $4.30.

    Since July 6th, Frost has bought more than 800,000 shares of the biotechnology company. In his most recent transaction on July 27th, the billionaire purchased 185,000 shares for $801,104 at an average price $4.34, bumping his stake from 39.58% to 39.65%.

    Frost, who became CEO and chairman in 2007, now holds 114,192,354 shares of the company

    A self-made billionaire, Frost has been causing quite a stir over the potential of Opko. Supporters argue that Frost would not be a billionaire if he was a poor investor, and that Frost's impressive investment track record should be considered seriously when evaluating the company. They underscore that some of Frost's most successful investments, such as Key Pharmaceuticals and Ivax, have gained thousands of percentage points, and far outweigh his past investment blunders. Still, critics contend that too much of Opko's valuation is based on the presence of Frost, and that the billionaire's mishaps, such as his past investment in the fraudulent Chinese company SearchMedia Holdings, could easily be repeated with Opko.

    Frost aside, bullish analysts point to Opko's growing revenue and promising product line for justification of Opko's potential. However, the 10% drop in the stock price during last 3 months may prove harder to defend. Although Frost will likely continue to increase his stake in Opko, following his lead will remain uncertain.

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

    Aug 03 4:52 PM | Link | Comment!
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