Multiple insiders of NuVasive (NUVA)Â purchased a total of 26,172 insider shares this week.
The largest and most recent insider purchase came from Director Patrick Miles, who bought 16,967 shares of NuVasive in three transactions Nov. 1 and Nov. 2. On Nov. 1, Miles purchased 3,679 shares for $58.45 per share. On the same day in a separate transaction he added an additional 12,988 shares for $59.15 per share. Then on Nov. 2, Miles added 300 shares for $57.41 per share.
After adding a total of 16,967 shares, Miles now owns 68,116 shares of NuVasive.
NuVasive has a market cap of $2.96 billion, a price-earnings (P/E) ratio of $87.78 billion, an enterprise value of $3.45 billion and a price-book (P/B) ratio of 4.10.
Executive Vice President and General Counsel Joan Stafslien purchased 5,000 shares on Oct. 31 for $59.68 per share. Director Michael O'Halleran purchased 4,205 shares on Oct. 31 for a price of $59.47 per share according to the Securities and Exchange Commission.
NuVasive is an innovative medical device company that focuses on developing minimally disruptive surgical procedures for the spine. The company has the mission to improve the lives of its patients who suffer from debilitating back, neck or leg pain by creating products and procedures that innovate and improve spine surgery through focusing on speed of innovation, absolute responsiveness and clinical results.
According to GuruFocus NuVasive has a 5 of 10 financial strength rating with a cash-debt ratio of 0.30, an equity-asset ratio of 0.44, an interest coverage ratio of 3.29, a Piotroski F-Score of 4 and a Beneish M-Score of -2.42 indicating the company is not a manipulator of its financial statements. The company also has a 6 of 10 profitability and growth rating with an operating margin of 13.57%, a net margin of 4.06%, an ROE of 5.31%, an ROA of 2.49%, an ROC (Joel Greenblatt (Trades, Portfolio)) of 26.54 and EPS Growth (3y) of 162.10%.
It's possible that insiders Miles, Stafslien and Ohalleran decided to purchase shares in NuVasive because of the recent market price decline. On Oct. 21, the company was trading for $67.42 per share. The shares were purchased between Oct. 31 and Nov. 2 at an estimated average price of $58.83 after the company’s market price declined by 13%, which likely had an influence on the insiders' decisions to purchase shares in NuVasive. Since the shares were purchased NuVasive's market price has declined by an estimated 4.48%.
According to the Peter Lynch chart below NuVasive is trading above its intrinsic value
Disclosure:Â Author does not own any shares in this company.
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