Nanosphere, Inc. (NSPH) hits a double-bottom

Submitted by Eric Cheshier on Tue, 12/30/2008 - 20:06

Tags:

Financial News

Nanosphere, Inc. (Public, NASDAQ:NSPH) on Monday, fell -$2.53 or -37% on double the average volume. The downward move came with no news from the company or investment community.

NSPH 1 Year Chart

The Company, which is developing diagnostic tests for a range of medical conditions, including cancer, neurodegenerative, cardiovascular, and infectious diseases, has had strong insider buying during December.

Insider Trading	Relationship	Date	Transaction	Cost	#Shares	Value ($)	#Shares Total
Shipp Gregory	See General Remarks.	12/12/2008	Buy	5.05	2,900	14,650	3,600
SLEZAK MARK	Director	12/12/2008	Buy	4.91	19,958	98,026	3,336,872
Lurie Investment Fund, L.L.C.	10% Owner	12/12/2008	Buy	4.91	19,958	98,026	3,336,872
Lurie Investment Fund, L.L.C.	10% Owner	12/11/2008	Buy	4.4	38,294	168,402	3,316,914
SLEZAK MARK	Director	12/11/2008	Buy	4.4	38,294	168,402	3,316,914
Shipp Gregory	See General Remarks.	12/11/2008	Buy	4.04	700	2,825	700
SLEZAK MARK	Director	12/10/2008	Buy	4.08	7,040	28,742	3,278,620
Lurie Investment Fund, L.L.C.	10% Owner	12/10/2008	Buy	4.08	7,040	28,742	3,278,620
Lurie Investment Fund, L.L.C.	10% Owner	12/9/2008	Buy	4.38	3,188	13,977	3,271,580
SLEZAK MARK	Director	12/9/2008	Buy	4.38	3,188	13,977	3,271,580
Lurie Investment Fund, L.L.C.	10% Owner	12/5/2008	Buy	3.5	2,368	8,295	3,268,392
SLEZAK MARK	Director	12/5/2008	Buy	3.5	2,368	8,295	3,268,392
SLEZAK MARK	Director	12/4/2008	Buy	3.62	27,534	99,665	3,266,024
Lurie Investment Fund, L.L.C.	10% Owner	12/4/2008	Buy	3.62	27,534	99,665	3,266,024
SLEZAK MARK	Director	12/2/2008	Buy	3.5	13,460	47,078	3,238,490
Lurie Investment Fund, L.L.C.	10% Owner	12/2/2008	Buy	3.5	13,460	47,078	3,238,490

What I like about Nanosphere is their product pipeline. Check out these notes from the Q3 Earnings call Transcript:

Let me take you through some of those and how we expect our pipeline of products to enable us to accelerate market penetration. Our nucleic acid product development programs encompass additional human genetic assays and infectious disease tests, while our protein test menu is driven first by cardiac troponin with additional assays in feasibility.

In the Human Genetics market segment, we have filed a 510(k) submission with the FDA for our cystic fibrosis assay comprising the panel of mutations recommended by the American College of Medical Genetics and the American College of Obstetrician Gynecology.

The market for this assay is approximately 1.8 million tests per year and we anticipate an average sell price target of about $65. This assay demonstrates the unique high count multiplex capability of our nanotechnology based Verigene System and offers our customers the ease of use associated with our random access cartridge format.

We have also filed a 510(k) with the FDA for our first infectious disease assay, a panel of respiratory viruses for the detection of influenza and RSV. In clinical trials to support the FDA submission, we believe our data demonstrate this assay to be superior to others on the market today. This first generation assay requires external sample preparation by the customer before proceeding to the Verigene System.

A second generation assay that will run on the Verigene II System will provide complete sample-to-result automation.

Fellow Stockmasters, it could be a good time to add Nanosphere to your portfolio while shares are this low.