Alexander Schornstein, a 10% owner of Assembly Biosciences Inc. (NASDAQ:ASMB), recently purchased a significant amount of the company's stock. According to a filing with the Securities and Exchange Commission, Schornstein acquired a total of 24,000 shares over two days.
On November 22, Schornstein bought 17,024 shares at prices ranging from $14.735 to $15.00, amounting to a total of $253,104. The following day, he purchased an additional 7,976 shares. This included 2,976 shares at a price of $15.00, totaling $44,640, and 5,000 shares at prices between $14.75 and $14.95, amounting to $74,250.
These transactions bring Schornstein's total holdings in Assembly Biosciences to 728,113 shares. The purchases were made on the open market using personal funds, as noted in the filing.
In other recent news, Assembly Biosciences has initiated an at-the-market equity program in a sales agreement with Jefferies LLC. The agreement allows for the sale of Assembly Biosciences' common stock through Jefferies, providing a flexible mechanism to raise capital for the company's operations and its pharmaceutical development programs. Concurrently, Assembly Biosciences has reported positive interim results from its Phase 1a study of ABI-5366, a drug candidate for treating recurrent genital herpes. The data supports the advancement of ABI-5366 to the Phase 1b portion, which is currently screening patients.
Investment banking firms have offered their analysis on these developments. H.C. Wainwright maintained a neutral stance on Assembly Biosciences, while Mizuho (NYSE:MFG) Securities reiterated an Outperform rating, emphasizing the drug's long-acting profile as a significant advantage for patient convenience. Jefferies upgraded its rating from Hold to Buy, reflecting a positive outlook on the company's upcoming clinical data. The interim results from the Phase 1b study, anticipated in the first half of 2025, are expected to closely monitor by investors. These are recent developments, shedding light on the company's ongoing efforts in drug development and financing strategies.
InvestingPro Insights
Alexander Schornstein's recent stock purchases align with several positive indicators for Assembly Biosciences Inc. (NASDAQ:ASMB). According to InvestingPro data, the company's market capitalization stands at $94.14 million, reflecting its current position in the biotech sector.
InvestingPro Tips highlight that ASMB holds more cash than debt on its balance sheet, suggesting a strong financial position. This could be a factor in Schornstein's decision to increase his stake. Additionally, analysts anticipate sales growth for the company in the current year, which may indicate potential for future value creation.
The stock has shown impressive performance, with a one-year price total return of 71.65% as of the latest data. This substantial gain might have influenced Schornstein's confidence in further upside potential.
However, investors should note that ASMB is not currently profitable, with a negative gross profit margin of -85.9% in the last twelve months. Despite this, the company's valuation implies a strong free cash flow yield, according to another InvestingPro Tip.
For those seeking a deeper understanding of ASMB's financial health and prospects, InvestingPro offers additional insights. The platform provides 10 more tips for Assembly Biosciences, which could be valuable for investors considering following Schornstein's lead or evaluating the company's potential.
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