A biotechnology stock that insiders are very active in here is CytRx (CYTR), whose oncology pipeline includes three programs in clinical development for cancer indications. Insiders are buying this stock into some extreme weakness, since shares are down by over 30% in the last three months.
CytRx has a market cap of $50.89 million and an enterprise value of $23.97 million. This stock trades at a steep valuation, with a price-to-sales of 508.94 and a price-to-book of 29.63. Its estimated growth rate for this year is -116.9%, and for next year it's pegged at 29.3%. This is a cash-rich company, since the total cash position on its balance sheet is $26.93 million and its total debt is zero.>>5 Stocks Hedge Funds Love -- and So Should You A beneficial owner just bought 1.2 million shares, or about $3 million worth of stock, at $2.50 per share. This same beneficial owner also just bought 180,000 shares, or about $451,000 worth of stock, at $2.51 per share. From a technical perspective, CYTR is currently trading well below both its 50-day and 200-day moving averages, which is bearish. This stock has been downtrending badly for the last four months, with shares dropping from $5.50 to its recent low of $2.33 a share. During that downtrend, shares of CYTR have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of CYTR have now entered extremely oversold territory since its current relative strength index is 16.30. Oversold can always get more oversold, but it's also a condition where you can look for a sharp bounce higher. If you're bullish on CYTR, then I would look for long-biased trades once it manages to take out some near-term overhead resistance at $2.50 to $2.53 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 157,505 shares. If that breakout triggers soon, then CYTR could re-fill some of its previous gap down zone that started just above $3 a share. It's possible that off an oversold bounce, CYTR could tag $3.33 to $3.70 a share.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV