Insider buying is a flimsy market signal without some other catalyst to drive the price action. In the case of TriSalus Life Sciences (NASDAQ: TLSI), Avadel Pharmaceuticals (NASDAQ: AVDL), and Smithfield Foods (NASDAQ: SFD), there is another catalyst: growth. These unrelated companies have unique catalysts to drive revenue and earnings growth in 2025, are undervalued relative to analysts' targets, peers, or both, and the insiders are buying them.
TriSalus Life Sciences Insider Buying Ramps Higher in Q1
TriSalus Life Sciences is a medical technology company focused on drug delivery technology for oncology patients. Founded in 2009, it is a microcap company that came to market via a SPAC merger in 2023. The insider activity is noteworthy because it began in Q3 2024 and has ramped higher since. The buying activity in the first six weeks of 2025 is already greater than all of Q4 and may continue to increase. Buyers include directors, the CEO, the CFO, the CRO, and a major shareholder who, along with other insiders, holds more than 30% of the shares.
Institutional activity is also significant. The institutions own only a small fraction of the company but have been buying on balance alongside the insiders since Q3. They own about 3% of the stock in mid-February. Surprisingly, this microcap company has ten analysts tracking it, and they rate it unanimously as a Buy and see it advancing at least 100% from early 2025 price levels. Among the reasons is the pipeline of candidates, which includes four candidates in Phase I trials and two potential candidates.
Avadel Pharmaceuticals Insiders Buy Ahead of Sales Ramp
Avadel Pharmaceuticals is a biopharma specializing in sleep disorders, specifically narcolepsy. Its primary product is Lumyrez and it has already been approved for limited use. The critical takeaway is that additional studies are underway to expand the market worth $2 to $3 billion in 2025. Another critical detail is that Lumyrez is shown to be superior to the leading competitors and less invasive for its users. It is taken once before bedtime compared to twice nightly. Sales in the recently reported quarter are a drop in the bucket compared to the potential market size but up more than 600% YOY and expected to continue growing robustly in 2025.
Insider activity is noteworthy because, after two quarters of inactivity, they started buying in Q4 2024 and have persisted in the first weeks of 2025. Buyers include a director, the CEO, and CFO and have their collective holdings near 5.0% of the stock. Institutional activity is mixed, with buying and selling ramping to multiyear highs in Q1. However, the balance of activity is bullish, equalling roughly 3.0% of the market cap, and has total interest up to 69%. Analysts' activity is also mixed, including numerous price target reductions since October 2024, but bullish on balance. The eight tracked by InsiderTrades.com are bullish, rating the stock unanimously as a Buy, and see it advancing at least 15% at the low end of their target range.
Smithfield Foods IPO Leaves Market Fairly Valued: Robust Growth Ahead
Smithfield Foods is a U.S.-based and Chinese-owned pork producer recently IPOd. WH Group remains the largest shareholder, but now investors can get a piece of the action. According to analysts at Hedgeye, the action is good, and they see a 50% upside for the stock. In their view, the market underestimates its growth potential and higher-margin business, which align it with the top-tier consumer staples companies. Insiders buying after the IPO include a director, the CEO, the CFO, and the CLO, bringing the total insider holding to nearly 2%.
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