Battered American Eagle Outfitters (AEO), Plus 2 Other Companies Witness Insider Buying

EXACT Sciences Corporation (NASDAQ:EXAS) had not witnessed insider buying since early 2014; until this week. Lead independent director David A. Thompson snapped up 15,000 shares on Monday at a price of $6.99 per share, lifting his overall holding to 110,213 shares. The molecular diagnostics company developed an accurate, patient-friendly screening test, called Cologuard, for the early detection of colorectal cancer and pre-cancer. The FDA approved Cologuard for use as the first non-invasive colorectal cancer screening test in 2014, though the revenue generated from this product has thus far failed to impress investors. Earlier this week, EXACT Sciences Corporation (NASDAQ:EXAS) announced that it completed roughly 38,000 Cologuard tests during the fourth quarter, which generated revenue of $14.0 million-to-$14.5 million. The company also announced that it anticipates full-year 2015 revenue of $39.0 million-to-$39.5 million, after completing approximately 104,000 Cologuard tests during its first year of commercialization.

The shares of the company have declined by 75% since mid-January 2015, so the recent insider purchase might suggest a strong 2016 in terms of stock performance. Colorectal cancer is believed to be the second leading cause of cancer deaths in the nation and the leading cause of cancer deaths among non-smokers, so the company’s screening test might have great potential in the upcoming years. Only 17 hedge funds from our extensive database had stakes in the company on September 30. Samuel Isaly’s Orbimed Advisors reported ownership of 1.78 million shares of EXACT Sciences Corporation (NASDAQ:EXAS) as of that date.