Neurocrine (NASDAQ:NBIX) Biosciences Inc. (NASDAQ:NBIX) has reported that Eric Benevich, the company's Chief Commercial Officer, sold company stock valued at approximately $10.45 million. The transactions were executed on March 14, 2024, and disclosed in a recent filing with the Securities and Exchange Commission.
Benevich sold a total of 74,000 shares at an average price of $139.3789, within a price range of $137.83 to $142.37. The sales are part of a pre-arranged trading plan under Rule 10b5-1, which allows insiders to sell shares at predetermined times to avoid allegations of trading on non-public, material information.
In addition to the sales, Benevich also executed option exercises for non-derivative securities, acquiring a total of 75,000 shares at prices ranging from $79.02 to $81.05, with a total transaction value of $6,067,627. These transactions are part of his compensation and stock ownership plan.
Following the transactions, the SEC filing indicated that Benevich held a direct ownership of 40,778 shares in the company. It should be noted that the reported transactions included an aggregate of 162 shares purchased from Neurocrine Biosciences' 2018 Employee Stock Purchase Plan.
The company's stock options exercised by Benevich were granted in previous years and vested over a period of time, providing the right to purchase shares at a predetermined price. The options from January 31, 2022, will expire on January 31, 2032, while the options from February 7, 2019, will expire on February 7, 2029.
Investors often monitor insider transactions as they can provide insights into executives' perspectives on the company's future performance. However, it is also common for executives to sell shares for personal financial planning reasons unrelated to their outlook on the company.
Neurocrine Biosciences specializes in neurological and endocrine-related diseases and disorders. The company's shares are publicly traded on the NASDAQ stock exchange under the ticker symbol NBIX.
InvestingPro Insights
As Neurocrine Biosciences Inc. (NASDAQ:NBIX) navigates through its executive stock transactions, investors and market watchers are keen to understand the company's financial health and future growth prospects. According to real-time data from InvestingPro, Neurocrine Biosciences boasts a market capitalization of $13.84 billion, underscoring its significant presence in the biotechnology sector.
The company's Price-to-Earnings (P/E) ratio stands at 54.82, which indicates investor expectations of future earnings growth, especially considering the P/E ratio adjusted for the last twelve months as of Q4 2023 is slightly lower at 40.6. This aligns with one of the InvestingPro Tips which suggests that Neurocrine Biosciences is trading at a low P/E ratio relative to near-term earnings growth, potentially signaling an investment opportunity for those looking at the company's earnings trajectory.
Furthermore, the company's revenue growth remains robust, with a 26.76% increase in revenue over the last twelve months as of Q4 2023, and a quarterly revenue growth of 25.05% for Q4 2023. This growth is supported by a strong gross profit margin of 67.96%, indicating the company's ability to retain a significant portion of its sales after accounting for the cost of goods sold.
For investors interested in deeper insights, there are additional InvestingPro Tips available, including the company's expected net income growth this year and its low price volatility, which may be particularly attractive to risk-averse investors. To access these tips and further enhance your investment strategy, visit https://www.investing.com/pro/NBIX and consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are 15 additional InvestingPro Tips listed for Neurocrine Biosciences that provide a comprehensive analysis to aid in making informed decisions.
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