BTMD

Biote Corp ($BTMD) Insiders Pour $5 Million Into Shares As Stock Plunges 60% From 2024 Highs

05/08/2025 23:23

Biote Corp ($BTMD) is witnessing significant insider buying amid a more than 50% stock price plunge, with major shareholder Guines LLC leading the charge with approximately $2 million in share purchases in April and May alone. Biote, a Texas-based small-cap company specializing in hormone optimization through bioidentical hormone replacement pellet therapy, has seen its stock price plummet by nearly 60% from a mid-July 2024 high of $8.36 to its current level around $3.34. The decline accelerated in early 2025, with the stock touching a low of $3.07 in March. What stands out is the substantial insider buying that has occurred during this steep decline. On March 17, 2025, CEO Bret Christensen purchased 37,595 shares (approximately $145,493) at $3.87 per share. On the same day, Director Marc D Beer acquired 107,794 shares (about $417,163) and Director Stephen Mark Cone bought 38,104 shares (roughly $147,844) at similar prices. Two days later, Director Andrew R Heyer purchased 75,000 shares (about $296,029) at $3.95. However, the most notable buying has come from major shareholder Guines LLC, which has been consistently purchasing shares from mid-March through early May 2025. Beginning with a substantial purchase of 750,000 shares ($2,411,775) on March 13, followed by 106,509 shares ($372,270) on March 14, and 106,000 shares ($351,920) on March 31, Guines has continued its buying spree. Most recently, on May 6 and 7, the entity acquired an additional 436,037 shares ($1,422,265) and 11,677 shares ($39,107), respectively. Footnotes indicate that these shares are indirectly beneficially owned by Roystone Management Holdings LLC, RB Management GP LLC, and Richard Barrera. This recent buying activity contrasts sharply with the selling by CFO Robert Charles Peterson, who sold 11,376 shares ($86,084) at $7.57 in July 2024 and 32,874 shares ($203,848) at $6.20 in September 2024. The stock has been on a consistent downward trajectory since these sales. As insiders aggressively buy shares, Biote's financial performance is showing signs of improvement. In its Q1 2025 earnings report, the company posted revenue of $48.99 million (a 4.7% year-over-year increase) and adjusted EPS of $0.37, significantly exceeding analyst estimates of $0.07 and representing a substantial turnaround from -$0.06 in the same period last year. Notably, dietary supplements revenue grew by 25.5%, driving the overall growth, while procedure revenue declined by 3.6%. Biote maintains its full-year 2025 revenue guidance of $202-208 million and Adjusted EBITDA forecast of $59-64 million, with expectations of 2-4% growth in procedure revenue and 5-10% growth in dietary supplements revenue compared to 2024. Analysts remain positive on Biote, with a consensus rating of "buy" and a median 12-month price target of $7.50, suggesting upside potential of over 120% from current levels. The company has been implementing strategic initiatives aimed at enhancing operational efficiency, including realigning commercial teams, launching the BioteRx wellness platform, and acquiring Asteria Health to improve supply chain control and product quality. Extensive insider buying typically signals insiders' positive outlook on a company's future. The cluster buying by a major shareholder, CEO, and multiple directors is particularly noteworthy. However, investors should consider the divergent performance across business segments, specifically the decline in procedure revenue, and recent stock volatility when making investment decisions.

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