Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

A Synageva Board Member’s Trusts Bought Shares

Page 1 of 2

Trusts related to Board of Directors member Thomas Tisch purchased about 21,000 shares of Synageva Biopharma Corp (NASDAQ:GEVA) on January 9th at an average price of $47.53 per share. Tisch and these trusts now own about 750,000 shares, but any increased exposure at all to the company is of questionable wisdom. Insiders are already exposed to company-specific events which can hurt them economically, and so for the trust to purchase more shares would likely reflect high confidence that the stock price will increase in the future. This is one explanation for why insider purchases tend to be bullish signals (see our analysis of studies on insider trading). Our database of insider trading filings last recorded purchases related to Tisch in July 2012 at $41.20 per share.

Ken Griffin CITADEL INVESTMENT GROUP

Synageva is a biotech company whose primary product would be used to treat patients with lysosomal acid lipase (LAL) deficiency. Since the company is mostly in the development stage, it has been unprofitable and is expected to show net losses in 2013 as well, but the market’s perception of its potential has carried it to a market capitalization of $1.2 billion. The stock is up 300% since shortly after its initial public offering in July 2011. At the end of September, Synageva had about $230 million in cash and cash equivalents on its balance sheet, as opposed to $14 million in total liabilities and $17 million in cash used in the first nine months of 2012. As a result we wouldn’t be worried about the company’s cash needs for at least a few more years. We would note that the most recent data has 16% of the outstanding shares held short.

Synageva was one of the top stock picks of Baker Brothers Advisors, a healthcare focused fund, at the end of September. According to the fund’s 13F, it had 8.4 million shares in its portfolio at that time- a 12% increase from three months earlier (find more of Baker Brothers’ favorite stocks). Felix Baker, who co-manages the fund, currently serves on Synageva’s Board of Director. However, the rest of the hedge fund community was cool on Synageva: very few other funds reported positions, while billionaires Ken Griffin and Steve Cohen had their hedge funds sell their shares. Check out which stocks Griffin’s Citadel and Cohen’s SAC Capital liked instead.

Page 1 of 2

Biotech Insider Alert - $5 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!