NVCT

Nuvectis Pharma ($NVCT) Major Shareholder Adds $400K During Price Correction - $1.6M Invested This Year Alone

05/13/2025 22:42

The major shareholder of small-cap biotech firm Nuvectis Pharma ($NVCT) has acquired additional shares worth approximately $400,000 during the recent price correction phase. According to SEC Form 4 filed on May 12, Charles Mosseri-Marlio, a major shareholder of Nuvectis, purchased around 48,000 shares at an average price of $8.52 between May 6 and May 12. This continues the consistent buying pattern exhibited by the major shareholder over recent months. Notably, this purchase occurred as Nuvectis's stock underwent a correction from the mid-$10 range in late April to the mid-$8 range. Nuvectis shares had steadily climbed from the $5 level in early 2025, breaking through the $10 barrier in late March before experiencing this recent pullback. Mosseri-Marlio's buying activity is not a recent phenomenon. On February 7, he purchased 240,000 shares at $5 per share, investing a total of $1.2 million. Shortly after this substantial purchase, Nuvectis's stock began an upward trajectory. Similarly, when the stock price plummeted in November 2024, Mosseri-Marlio and other insiders engaged in active buying. At that time, Chairman Ron Bentsur purchased 20,000 shares at $4.92 on November 15, and officer Enrique Poradosu added 2,000 shares. Nuvectis Pharma is a clinical-stage biopharmaceutical company developing precision medicines in oncology. The company's lead product, NXP800, is currently in Phase 1b clinical trials for treating platinum-resistant ARID1a-mutated ovarian cancer. In August 2024, the company achieved a significant milestone when the FDA granted NXP800 orphan drug designation. Additionally, NXP900 is in Phase 1a clinical trials for solid tumors. Financially, Nuvectis reported a net loss of $5.33 million for the first quarter of 2025, as announced on May 6. The net loss per share was $0.27, which is expected for a clinical-stage biotech company. Importantly, the company holds approximately $29.86 million in cash with no debt. Given an annual cash burn rate of about $12 million, the company has a runway of approximately 2.4 years without additional funding. The market sentiment toward Nuvectis remains positive among analysts. The average price target is $22, suggesting a potential upside of 169.94% from current levels. Analysts at Lucid Capital Markets maintain a buy rating with a price target of $18. Consistent buying by insiders, particularly major shareholders, in small biotech companies is often interpreted as an indicator of confidence in the company's long-term value. Currently, insider ownership at Nuvectis stands at 63%, suggesting that management and key shareholders have strong conviction in the company's future. However, investors should note that investments in clinical-stage biotech companies come with inherent risks, including regulatory hurdles, clinical trial failures, and market competition. While Nuvectis's stock has outperformed the S&P 500 index significantly with a 55.82% gain year-to-date, the volatility characteristic of the biotech sector should be considered.

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