AngioDynamics Inc. (NASDAQ:ANGO) President and CEO James C. Clemmer has made a notable purchase of the company's stock, according to a recent filing with the Securities and Exchange Commission. On October 7, Clemmer acquired 20,000 shares of AngioDynamics common stock at a weighted average price of $6.03 per share, totaling an investment of $120,600.
The transaction was part of a series of purchases made at varying prices ranging from $5.95 to $6.08. The CEO's acquisition has brought his total ownership in the medical device company to 681,582 shares. This move could be seen as a vote of confidence in the company's future prospects by one of its top executives.
AngioDynamics specializes in the development and manufacture of medical, surgical, and diagnostic devices. With its headquarters in Latham, New York, the company operates within a highly competitive industry where insider transactions are often closely monitored by investors seeking insights into a company's health and leadership confidence.
Investors and shareholders of AngioDynamics can request detailed information on the exact number of shares Clemmer purchased at each price point within the stated range, as per the footnote in the SEC filing. The recent purchase by the CEO is a direct ownership transaction, further aligning his interests with those of the company and its shareholders.
This latest development follows AngioDynamics' ongoing efforts to innovate and expand its product portfolio, as the company continues to navigate the dynamic medical device market.
In other recent news, AngioDynamics reported a modest 1.1% year-over-year increase in revenue for the first quarter of fiscal year 2025, totaling $67.5 million. Despite a slight miss in sales, H.C. Wainwright maintained its Buy rating and $14.00 stock price target, while Oppenheimer reiterated an Outperform rating with a $13.00 price target. The company's MedTech segment, including Auryon and AlphaVac products, saw a nearly 9% revenue boost, despite a 4% decline in the Med Device segment.
AngioDynamics also announced its transition to outsourced manufacturing, which is projected to result in significant annual savings by fiscal 2027. In terms of product performance, Auryon registered a 25% revenue growth due to new product launches and market expansion in Europe. However, NanoKnife revenue dipped by 6.9% due to a strong comparison from the previous year.
Despite these mixed results, AngioDynamics reaffirmed its revenue guidance for fiscal year 2025, which is expected to fall between $282 million and $288 million. According to the management team, these developments reflect recent changes in the company's operational strategy and market dynamics. Analysts from H.C. Wainwright and Oppenheimer expect that AngioDynamics' net sales could show sequential growth in the coming quarters, reflecting their positive outlook on the company's future prospects.
InvestingPro Insights
The recent stock purchase by AngioDynamics' CEO James C. Clemmer aligns with several key insights from InvestingPro. According to InvestingPro data, AngioDynamics' stock has taken a significant hit over the last week, with a 1-week price total return of -20.05%. This decline may have presented an attractive entry point for the CEO, especially considering that the stock's RSI suggests it is in oversold territory, as noted in one of the InvestingPro Tips.
Despite the recent downturn, AngioDynamics maintains a solid financial foundation. An InvestingPro Tip highlights that the company holds more cash than debt on its balance sheet, and its liquid assets exceed short-term obligations. This financial stability could be a factor in Clemmer's decision to increase his stake, signaling confidence in the company's ability to weather current market challenges.
However, investors should note that AngioDynamics faces some headwinds. The company's revenue growth for the last twelve months as of Q1 2023 was -12.85%, and it was not profitable during this period. Additionally, analysts do not anticipate the company will be profitable this year, according to another InvestingPro Tip.
For those seeking a more comprehensive analysis, InvestingPro offers 7 additional tips for AngioDynamics, providing deeper insights into the company's financial health and market position.
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