DXR

Daxor($DXR) CEO and CFO Simultaneously Buy Shares in Small-Cap Medical Device Firm, Signaling Confidence After 91% Net Income Surge

03/27/2025 15:48

Daxor Corporation ($DXR) has seen recent insider buying activity with CEO Michael Feldschuh and CFO Robert Michel both purchasing shares on the same day. Such cluster buying by executives is often interpreted as a positive signal about the company's future prospects. $DXR is a medical device company specializing in blood volume measurement technology. Their flagship product, the BVA-100 Blood Volume Analyzer, provides quantification of blood volume status and composition, aiming to enhance hospital performance metrics in various surgical and medical conditions. According to SEC Form 4 filings, CEO Michael Feldschuh purchased 3,360 shares at $7.68 per share on March 10, 2025, for a total transaction of $25,804.80. On the same day, CFO Robert Michel purchased 1,000 shares at $8.00 per share, totaling $8,000. This simultaneous buying suggests that management values the company higher than its current market price. Prior to these purchases, in December 2024, CEO Michael Feldschuh was granted 45,000 shares and officer Jonathan Adam Feldschuh was granted 32,000 shares, both scheduled to vest on December 6, 2024. This appears to be part of a long-term executive compensation plan. Financially, $DXR presents an interesting picture. The company's trailing twelve-month revenue stands at $119,714, representing a 26.75% decrease from the previous year. However, net income over the same period increased by 91.11% to $536,334, suggesting significant improvements in profitability. Additionally, according to a shareholder letter released by the CEO on March 4, 2025, the company's operating division reported an unaudited revenue increase of 116.5% in 2024. $DXR's stock price has responded positively to the insider buying, rising approximately 8.3% from $7.75 on March 10 to $8.39 on March 20. Over the past six months, the stock has traded between approximately $7.05 and $9.89, currently hovering in the $8 range. Market experts are bullish on $DXR. Analysts have issued a strong buy rating with a price target of $25, suggesting a potential upside of nearly 198% from the current price. The company has a market capitalization of about $41.4 million, placing it firmly in the small-cap category. However, its high P/E ratio of 76.08 may indicate that some future growth expectations are already priced in. The blood volume measurement technology field represents a growing market with potential to significantly impact hospital performance metrics and patient outcomes. $DXR is positioning itself as an innovator in this space, and the recent insider purchases may reflect management's confidence in this vision. Notably, the timing of the share purchases by the CEO and CFO—shortly after the corporate update issued on March 4—suggests confidence that the information presented publicly will translate into positive future performance. While investments in small-cap stocks like $DXR can involve higher volatility and liquidity risks, the vote of confidence from insiders coupled with positive analyst outlooks presents an intriguing investment opportunity worth consideration.

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