Went up to $37.00 after my post. Did you sell at $37? Time to get back in and do it all over again. Oh, and for those who switched this out and bought HCP (they were both around the same price) nice going-HCP hit a 52 week high today plus you got the nice dividends to boot.
Up 50 cents on a terrible market day, down 70 cents on a green day. Whoever is controlling these price movements has a sense of humor.
A Happy new one to you too. Glad to hear about your friend durable remission let him know that after 4 years is very much home. Usually the odds of being cured rise exponentially after the second year of remission so go on and remind your friend to enjoy the rest of his/her life.
Thanks for the compliment BTW.
Happy new year Kool! Enjoy your posts still and am very long here. My dd is not quite as technical as yours. A good friend is in I think year 4 of remission after a last resort adcetris treatment and still doing well.
They would certainly sell if they lose confidence. Compare what BB do SGEN vs XOMA.
Sentiment: Strong Buy
Because insider transactions are timed to not run foul with SEC rules on insider trading, they can be used as timing clocks for traders.
In this case buying by BB is indicative that no M&A talks are ongoing and that no trial data is expected for at least 6 months therefore with the main risks to shorting removed the short traders are playing their game knowing that they have at least six months to short and distort before they have to cover. If you look at the short interest over the same period that the BB have been buying you will notice that it has increased by ~ 4.6 million shares (slightly ahead of the purchases) which coupled with amped FUD about the ASH disclosure of a potentially superior competing drug to emerge (BS if you know the facts) and all the hyping surrounding the fund raising activities of emerging CART technology has been successful in collapsing the share price to the low 30's. However the mopping of the newly minted short shares by BB has created a longer term problem for the shorts making their victory a Pirrhic one. Because of the very high institutional ownership, what is now a slight advantage will eventually turn SGEN as toxic for the shorts as it has in the past. In the meantime since I had a bit of cash available this time around I have used it to increase my already very large (relative to my account) position.
You have it right, imo. Whenever my confidence in this investment lags, which is not infrequently, I remind myself that the Bakers - perhaps the smartest and most successful biotech investors of all time and the most insider of SGEN insiders - are regularly and dramatically magnifying their stake in and hold on this company. That's good enough for me. They are my canaries in the coal mine. If they're still in big time, I'm still in.
I understand why insiders often sell shares. They may want to diversify their investments, build a new home, or send their kid to Harvard. Sometimes they sell their company shares because they know there are problems ahead. But I can only think of one reason insiders would buy shares in their company. They must believe that their company is undervalued for some reason or another. It seems to me the faith insiders show in SGEN by buying so many shares is bullish. Perhaps there is a reason I haven't considered and would appreciate any illumination.