Boston, MA 06/18/2014 (wallstreetpr) – Pharmaceutical company Insys Therapeutics Inc (NASDAQ:INSY) director purchased the company’s shares from the open market during the last week. Ever since he started acquiring the company’s shares, there seems to be a steady rise in stock price. There were three incidents of insider buying the stock within a week triggering fresh interest among investors to shop them.
Insider Buying Stock
The company’s director John Kapoor has acquired 20K shares first on June 11 at an average price of $24.54, Insys Therapeutics Inc (NASDAQ:INSY) disclosed in a filing with Securities Exchange Commission or SEC. This transaction was valued $490.8K. Similarly, he has acquired another set of 20K shares on June 12 at an average price of $24.84 with an outflow of $496.8. On June 13 also, the insider acquired another 5K shares at an average cost of $25.44 valuing the stock at about $127.2K.
All the transactions were indirect in nature, and the shares were not held by him directly. The director’s direct holding in the company is 15,991 shares. It is worth about $406.8K. The three-day transaction indicates that the director has paid more than the previous one. He has also purchased shares at a lower price than the 50-day, as well as, 200-day moving average price of $29.41 and $35.31 respectively.
Stock Rises
When the matter of the director acquiring 45K shares came to public through SEC filing, it appeared that investors does not want to lag behind and wanted to sail along with the director in buying the shares. This has resulted in the shares closing 12.3% higher on Tuesday than its previous day closing price.
At one point of time during the intra-day trading, shares of the company reached a high of $30.81 indicating an increase of 16.5% over Monday’s closing price. While the Insys Therapeutics Inc (NASDAQ:INSY)’s stock has a yearly high of $57.91, its low price was $7.15 during the last 52-week period. The recent surge could be attributed the interest shown by the director in the counter.
