Several Biodesix insiders (NASDAQ: BDSX) purchased approximately 13.5 million shares of the company on Nov. 21, 2022, for a total value of $15.5 million. Shares of the data-driven diagnostic solutions company traded up more than 14% in the hours after trading Monday.
The spike in insider buying activity was due to the closing of Biodesix’s underwritten public offering of 30,500,000 common shares at a price of $1.15 per share.
Let’s take a closer look at the insider buy trades that took place yesterday.
Director and owner of more than 10% of Biodesix shares, Jack W. Schuler, made the largest purchase. He purchased approximately 8,695,652 shares in the offering for a total value of approximately $10 million.
Additionally, Matthew Strobeck, one of the directors of Biodesix, made an informative purchase of 2,669,562 shares. The recent purchase increased the holding value of Strobeck’s BDSX shares to $6.61 million.
Chairman John Patience purchased 1,739,130 shares of BDSX, worth nearly $2 million. Patience also owns more than 10% of the company’s shares. Some of the other directors, including Jon Faiz Kayyem, Charles M. Watts and Hany Massarany, also purchased some of the shares in the offering.
Interestingly, TipRanks offers daily insider trading as well as a list of top insiders in the business. It also provides a list of hot stocks that are showing a strong or positive insider confidence signal.
While insiders are bullish on BDSX, hedge funds are neutral on the stock. Additionally, Biodesix scores 2 out of 10 on TipRanks’ Smart Score rating system, indicating that the stock is likely to underperform market expectations.
BDSX stock is down more than 77% so far this year. However, the significant price correction may seem attractive to investors looking to invest in penny stocks.