This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

5 Stocks Insiders Are Loading Up On

Stocks in this article: NIHDZIOPALXAFGPCHTP

Alexza Pharmaceuticals

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Another stock in the biotechnology and drugs complex that insiders are buying up a notable amount of is Alexza Pharmaceuticals (ALXA), which is focused on the research, development, and commercialization of products for the acute treatment of central nervous system conditions. Insiders are buying into weakness here since this stock is off by 10% so far in 2012.

Alexza has a market cap of $53.4 million and an enterprise value of $38.7 million. This stocks trades at a price-to-sales of 1.17. Its estimated growth rate for the next quarter is 21.4%, and for next year it's pegged at 22.4%. This is a cash-rich company, with a total cash position on its balance sheet of $28.32 million and total debt of $13.64 million. After you back out the debt, Alexza has $14.68 million in cash on the books.

A beneficial owner just bought 179,041 shares, or about $145,000 worth of stock, at 80 cents per share. It looks like this purchase was part of a private placement for Occitan Capital management, which is a 10% owner of Alexza.

From a technical standpoint, ALXA is currently trading below both its 50-day and 200-day moving averages, which is bearish. This stock dropped from its November high of $1.48 to a recent low of 51 cents per share. After hitting that low, the stock has rebounded to a recent high of 99 cents, and it now trades t around 73 cents.

If you're a bullish on ALXA, then I would consider looking for long-biased trades once this stock breaks out above 80 cents per shares with big volume. Look for volume that's near or well above its three-month average action of 1.02 million shares. You could also buy it off any weakness and anticipate the breakout with a mental stop just below 70 cents per share. I would then add to any long positions once ALXA takes out its 50-day moving average of 89 cents per share with heavy volume.

4 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,828.24 +0.49 0.00%
S&P 500 2,067.56 -5.27 -0.25%
NASDAQ 4,791.63 +4.3130 0.09%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs