One of Cassava Sciences’ (NASDAQ:SAVA) Directors, Richard Barry, bought SAVA stock worth $2.29 million. His Buy transaction attracted investors’ attention, leading the stock to rally a solid 12% in Wednesday’s extended trade.
The clinical-stage biotechnology company remains focused on developing product candidates intended for the treatment of Alzheimer’s disease.
According to the SEC filing, Barry purchased 88,841 shares of Cassava on March 6 and 7, at an average price of $25.81 per share. Following the latest purchase, the total value of SAVA shares in his portfolio currently stands at $6.93 million.
As per the data collected by TipRanks, Barry has had a 75% success rate in his eight transactions so far, with an average return of 39.2% per transaction.
Interestingly, 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 SAVA a Good Stock to Buy?
Earlier this week, analyst Vernon Bernardino of H.C. Wainwright reaffirmed a Buy rating on the stock with a price target of $124. The analyst believes Cassava’s cash reserves will be sufficient for conducting its Phase 3 clinical study of simufilam in Alzheimer’s disease, through 2024.
Furthermore, Bernardino is of the opinion that the completion of patient enrollment for the Phase 3 studies might boost SAVA stock price in the fourth quarter of 2023.
Overall, the Street is cautiously optimistic about the stock and has a Moderate Buy consensus rating based on two Buys and one Hold. The average price target of $84 signals that the stock may surge about 236% from current levels. Shares of the company have declined 10% so far in 2023.
