We recently published a list of 10 Top Insider Stock Buys And Sells In January. In this article, we are going to take a look at where Neurocrine (NASDAQ:NBIX) stands against other top insider stock buys and sells in January.
Ever heard of the “January effect?” In case you haven’t, a “January effect” is considered a phenomenon in the stock market where stock prices, most commonly of small-cap stocks, rise in the month of January. Analysts have noticed the pattern and provided various explanations for it.
Some attribute the January rise in price to tax-loss harvesting, which usually happens between October and December. The theory suggests that after investors have sold some of their stocks at the end of the year for tax purposes, investors search for new buying opportunities. Others believe that year-end bonuses lead to more investments which subsequently increases stock prices. Overall, whatever the reasons, January seems to be a favorable part of the year for the stock market.
This January, the broader market index went up 2.93%. But, what are some of the stocks that have seen the most insider trading activity this month? To find out, we used Insider Monkey’s insider trading stock screener and looked for stocks with a minimum of five insiders buying or selling in January.
Why should we be interested in insider trading activity? While both insider selling and buying can be driven by various motives, it is important to consider these moves within the broader context of the company’s fundamentals, industry trends, and overall market conditions. That’s why due diligence before any investment is of the utmost importance. However, insider trading activity in combination with other relevant determinants can offer valuable insights into a company’s capabilities, helping investors make more informed investment decisions.
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A healthcare professional discussing treatment options for a patient with a neurological disorder.
Neurocrine Biosciences, Inc. (NASDAQ:NBIX)
Number of insiders selling: 10
Market Cap: $11.49 billion
Neurocrine is a biopharmaceutical company focused on the discovery and development of medicine for the treatment of neurological, endocrine, and psychiatric disorders. Its flagship product, Ingrezza (valbenazine), is for the treatment of tardive dyskinesia and chorea associated with Huntington’s disease. The company’s Crinecerfont recently obtained Breakthrough Therapy designation for congenital adrenal hyperplasia (CAH).
In addition to Ingrezza, Neurocrine’s diverse portfolio contains other FDA-approved treatments, such as those for classic congenital adrenal hyperplasia, endometriosis and uterine fibroids, as well as a robust pipeline including multiple compounds in mid- to late-phase clinical development across our core therapeutic areas.
In January, 10 insiders, among which are the company’s CEO, CFO, and CCO sold a total of around $33 million worth of Neurocrine shares at an average price of $151.04. Out of the total amount, the company’s CEO, Kyle Gano, sold 66,541 shares, worth $9.43 million reducing his holding to 136,778 at the time.
The stock is now trading at $115.11 per share, having declined 15.78% year-to-date.
For the full year ended December 31, 2024, Neurocrine disclosed Ingrezza net sales of $2.36 billion, compared to $1.89 billion in 2023.
On January 28, the company launched a Phase 3 registrational study to assess the efficacy, safety, and tolerability of osavampator, an investigational drug being developed as an additional treatment to antidepressants for major depressive disorder (MDD).
Neurocrine is also one of the 12 Best Low Risk High Growth Stocks to Invest In.
Overall, NBIX ranks 5th on our list of top insider stock buys and sells in January. While we acknowledge the potential of NBIX, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NBIX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
