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Beneficent (NASDAQ:BENF) stock is skyrocketing on Friday following disclosure of insider trading by a member of the Board of Directors.
Director Peter Cangany acquired 400,000 shares of BENF stock from Feb. 20 to Feb. 21. His first purchase comprised 200,000 shares at an average price of 26 cents each, followed by another 200,000 batch the next day for 25 cents each.
Cangany’s shares are indirectly held through his TheCanganyGroup, LLC. Additionally, he directly holds another 77,500 shares of BENF stock.
Implications on BENF Stock
Disclosure of insider buying often injects optimism into investors’ sentiments toward a company, and this seems to be the driving force behind the surge in BENF stock, as more traders are now buying shares following the insider trading revelation.
The disclosure also triggered heavy trading of BENF stock, with over 17 million shares changing hands as of the time of this writing. This volume is significantly above the company’s daily average trading volume of about 182,000 shares.
BENF stock has surged by 25.1% as of Friday morning, after registering a year-to-date decline of 55.1% at Thursday’s market close.
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
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