Two corporate insiders at Terns Pharmaceuticals (NASDAQ:TERN) disclosed having purchased TERN stock worth $11 million. The clinical-stage biopharmaceutical company is developing a portfolio of small-molecule single-agent and combination therapy candidates for the treatment of non-alcoholic steatohepatitis and other chronic liver diseases.
Vivo Opportunity, LLC, a more than 10% owner of TERN stock, bought 758,620 shares of the company for a total value of $5.5 million.
Also, one of the company Directors, Hongbo Lu, made a similar informative buy transaction. Interestingly, Lu has had a 100% success rate in her three transactions so far, with an average of 64.3% return per transaction when compared with the S&P 500.
The spike in insider buying activity is due to the closing of Tern’s underwritten public offering of 11,902,500 shares of its common stock at a price of $7.25 per share.
Overall, corporate insiders have bought TERN shares worth $2.7 million over the last three months. TipRanks’ Insider Trading Activity Tool shows that insider confidence in Tern stock is currently Negative.
TipRanks offers daily insider transactions as well as a list of top corporate insiders. It also provides a list of hot stocks that boast either a Very Positive or Positive insider confidence signal.
Is Tenaya Stock a Good Buy?
Currently, Wall Street is cautiously optimistic about TERN stock. It has a Moderate Buy consensus rating based on one Buy and two Hold recommendations. The average stock price target of $8.67 implies upside potential of 5.1%.
At present, hedge funds have a very positive stance on TERN stock. Also, Tern scores 7 out of 10 on TipRanks’ Smart Score rating system, indicating that the stock is likely to perform in line with market expectations.
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