Insiders Could Be Buying ViewRay, Inc. (VRAY) Shares For Good

The sell to buy ratio for ViewRay, Inc. (NASDAQ:VRAY) over the past 12 months was at 0.03, pointing to bullish sentiments about the stock among corporate executives and directors. VRAY recorded 0 sales transactions on the open market over the last 3 months with a sale of around shares. On the other hand, purchases amounted to 15,616,807 shares in that period. Looking at a longer time frame, the 52 week selling total stands at 564,569 shares when buyers snapped up 16,184,519 shares. The total signifies nearly a 0.03-to-1 sell/buy ratio.

On January 02, 2020, ViewRay, Inc. (NASDAQ:VRAY) shares lost -3.91% or -0.17 points to close at $4.05 with a heavy trading volume of 2.863 million shares. The company now has a market cap of $590 million and currently has 145.54 million outstanding shares. ViewRay, Inc. (VRAY) stock has accumulated 19.26 percent of market value in 21 trading days.

VRAY stock’s trailing 3-year beta is 1.25, meaning there will be a greater rate of return, although posing a higher risk. The part of a firm’s profit given to each outstanding share of regular stock was -$1.05 share in the trailing 52 weeks. The stock’s value fallen -3.91 percent year to date (YTD) compared to a decline of -34.17 percent in 52 week’s period. The firm’s shares are still trading -58.45 percent below its 1-year high of $9.76 and 91.27 percent up from 52-week low of $2.12. The average consensus ranking on the company is 1.7, on a ranging where 5 is equal to a consensus sell rating. In other words, the mean analyst recommendations are ranking this stock as a buy.

Past records have indicated that shares in ViewRay, Inc. declined on 11 different earnings reaction days and are likely to grow percent when the company reports upcoming earnings.

Let’s take a glimpse at some insider activity at ViewRay, Inc. (NASDAQ:VRAY) and observe the pattern. The earliest insider trade happened on 12/06/2019. Strong Influence Ltd gathered a total of 5.75 million shares of the firm at average share price of $3.13. The total amount for the purchase was set at $18 million. On completing this exchange, the 10% Owner account balance was 19.41 million shares. The stock grew 29.71 percent from that insider purchase. On 12/06/2019, Fosun International Ltd, 10% Owner, did a purchase of 7.35 million shares at a price of $3.13 per share. This increased 23 million shares to the insider’s fortune and the stock experienced a 29.71 percent rally in price since the news became public. This exchange saw 23.82 million shares get into the 10% Owner account.

On 09/03/2019, Chief Scientific Officer Dempsey James F. recorded a sale transaction valued at $997.51 thousand. The sale at $3.57 a share has eliminated 279.41 thousand shares from the insider’s portfolio position. Meanwhile, shares price witnessed 13.73 percent increase since the transaction reporting date. The company insider is left with 220.97 thousand shares remaining in the account. Matin Shahriar, who works as COO at the company, performed a purchase of 60 thousand shares in a transaction worth $241.2 thousand. The acquisition recorded on 08/14/2019 was priced at $4.02 per share. The stock price soared 1 percent since the transaction. Matin Shahriar currently holds a stake of 667.86 thousand in VRAY stock which is worth $2.7 million after the insider buying.

The stock is lingering around the initial support level of $3.95. After this, the following support is at the zone of $3.84. Up until the time the VRAY stock hit levels beyond the current one, bulls should have no alarm. In terms of its momentum, the stock’s RSI hit 50.81 on the daily chart, and this may be a cause for concern. In case the price goes below $3.84 level on closing basis, there may be more profit booking with the stock growing weaker. Still, getting to the $4.21 level may cause a pull-back move approaching $4.37 mark.

ViewRay, Inc. (VRAY) shares are trading at a P/E ratio of -4.11 times earnings posted in the trailing 12 months. The industry VRAY deals with has an average P/E of 43.65. Its P/B ratio is standing at 4.95X compared to the 8.35 industry average. It is additionally sporting a 3.13 on the Price-to-Sales ratio, compared to the industry’s P/S average of 0.88. ViewRay, Inc. has a -1% gross profit margin.