Pacific Biosciences of California (PACB), Lexicon Pharmaceuticals, Inc. (LXRX): 3 Stocks With Insider Interest

Lexicon Pharmaceuticals, Inc. (NASDAQ:LXRX)

Lexicon Pharmaceuticals, Inc. (NASDAQ:LXRX) is a pharmaceutical company focused on the development and discovery of treatments for various human ailments. The company has one of the stronger pipelines in the biopharmaceutical industry. It currently has six candidates undergoing clinical evaluation. Teloristristate is currently in the middle of Phase III clinical study and LX4211 for diabetes has completed Phase III trials. All other candidates are in Phase II trials expect LX7101 for glaucoma, which has ended Phase I trials.

Insiders have purchased approximately 3 million shares of the company, which comes out to 1.32% of total shares outstanding. Institutions have also shown interest in Lexicon Pharmaceuticals, Inc. (NASDAQ:LXRX) and have acquired approx. 12 million shares of the company during the last six months, increasing ownership by 2.5%. During the last 52 weeks the stock has traded in the range of $1.4 to $3.2. The mean sell side target price on the stock is $3 with the lowest price target being $2. From a total of seven analysts five have a buy rating on the stock and the other two have a hold rating.

Bottom Line

Insider and institutional purchases can be a good indication of future price movements of a stock. The insiders have information that is unavailable to other investors, such as upcoming catalysts or the true value of the pipeline. On the other hand institutional investors have more resource at their disposal to better assess the value of an investment. That said, investors should do their own due diligence on these companies before making any investment decisions.

The article 3 Stocks With Insider Interest originally appeared on Fool.com and is written by Mohsin Saeed.

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