Opaleye Management Inc., a significant shareholder in Protara Therapeutics, Inc. (NASDAQ:TARA), has recently sold a total of $130,434 worth of the company's common stock. The transactions took place on May 21 and May 22, according to the latest filings.
On May 21, Opaleye Management executed two separate sales. The first sale involved 31,200 shares at an average price of $3.0557, while the second sale consisted of 1,800 shares at the same average price. The transactions on this day were part of a series of sales that occurred at prices ranging from $3.01 to $3.17.
The following day, Opaleye Management continued to reduce its position in Protara Therapeutics with two additional sales. The company sold 9,300 shares at an average price of $3.021 and 500 shares at an average price of $3.0021. These sales were also conducted at various prices, specifically between $3.00 and $3.03.
After these transactions, Opaleye Management's holdings in Protara Therapeutics were adjusted to 2,282,159 shares owned directly by Opaleye, L.P. and 123,750 shares owned by a managed account. The sales were reported by Opaleye Management Inc. as indirect ownership, indicating that the shares were owned by managed entities for which Opaleye acts as the investment manager.
Investors often monitor insider transactions such as these for insights into how company executives and significant shareholders view the stock's value and prospects. The recent sales by Opaleye Management Inc. represent a notable change in their investment in Protara Therapeutics.
InvestingPro Insights
Protara Therapeutics, Inc. (NASDAQ:TARA) has been the subject of significant shareholder activity, as Opaleye Management Inc. has reduced its stake in the company. To better understand the potential implications of this move, let's consider some insights from InvestingPro.
With a market cap of roughly $56.83 million, Protara Therapeutics is considered a small-cap company, which can often experience more volatility in stock prices. The company's recent price performance has been a rollercoaster, with a six-month total return of 145.33%, yet it has seen a one-week price total return of -26.2%. This could indicate a high level of market sentiment and investor reaction to company news and developments.
InvestingPro Tips suggest that Protara holds more cash than debt on its balance sheet, which is typically a positive sign indicating financial stability. However, the company is quickly burning through cash and analysts do not anticipate the company will be profitable this year. This could be a cause for concern for investors looking for long-term profitability.
For those considering investing in Protara Therapeutics, or current shareholders looking to reassess their position, there are 9 additional InvestingPro Tips available that could provide a deeper analysis. These tips can be accessed through the platform's advanced features, which can be subscribed to at a discounted rate using the promo code PRONEWS24 for an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
With the next earnings date set for August 5, 2024, investors will be keen to see if the company's strategies will address the cash burn and move towards profitability. The current InvestingPro Fair Value estimate stands at $3.46, which could suggest room for growth from the previous close price of $2.99.
Considering the recent insider sales and the volatility in the stock's price, these insights could be valuable for investors when making informed decisions regarding their investment in Protara Therapeutics.
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