Repros Therapeutics: New Drug Development Stimulates Insider Trading

Repros Therapeutics new drug: Insider Katherine Anderson, Chief Financial Officer at Repros Therapeutics Inc (NASDAQ:RPRX), purchased 1,000 shares of common stock last week at $23.77. Her direct holding now amounts to 5,375 shares, or approximately $132,493. The stock now trades near its 52-week high of $29.79 per share.

In addition to the CFO, hedge funds have large positions in the firm. From the 27 different funds we track that have invested in Repros, nine of them possess over half a million shares. Baker Bros. Advisors is the fund with the largest holdings, with over 2.7 million shares, valued at approximately $68.4 million. Visium Asset Management comes in second, with over 1.8 million shares, followed by Partner Fund Management’s holdings of over $32 million worth of stock.

The insider trading that occurred at Repros follows the firm’s reports about the efficiency and safety of Androxal, a drug design to increase testosterone in men. The drug is expected to take a share of the testosterone replacement market because it preserves fertility. Additionally, it is easier to use than its injection based counterparts. If analysts’ expectations regarding approval of Androxal are correct, Repros will have much to gain.

However, the clinical development of the drug has significantly increased costs. Net losses were reported in the firm’s second quarter financial results, along with increased R&D expenses. Hence, Repros’ success hinges on the approval of Androxal; should the drug trials be successful, Anderson will have a reason to celebrate, so we’ll be watching very closely.

Disclosure: Pablo Erbar holds no position in any stocks mentioned