A Boring Biotech That’s Too Cheap to Ignore

One of the trends Bryan and I have been following closely is biotech.

The insider buying activity in this sector is becoming impossible to ignore.

And one stock that keeps coming up on my radar is Ardelyx (ARDX) – a play I recently got positioned on in The War Room.

ARDX has two commercial drugs – IBSRELA for irritable bowel syndrome and ZPHOZAH for chronic kidney disease.

I know, not exactly cocktail party conversation.

But ARDX’s fundamentals caught my eye.

Right now, the biotech group is projecting $500 million in sales in the year ahead, driven by the two new drugs in the early stages of a commercial ramp.

It’s also making smart commercial moves to drive growth.

This week, ARDX announced a marketing partnership with the Ladies Professional Golf Association (LPGA), aiming to raise awareness of irritable bowel syndrome and constipation, a condition that disproportionately affects women.

More awareness means more patients, and more patients means more prescriptions.

Plus, with a market cap of just under $2 billion, ARDX is currently trading at about 4 times sales. That’s actually cheap for a young growth company – and here’s why that matters.

When large pharma companies acquire smaller biotechs, they typically pay premiums of 10x sales or more.

That’s the kind of upside I look for.

And perhaps the strongest signal – insiders are buying.

Last week, company chairman David M. Mott bought 333,333 shares of the company for an estimated $1,946,331.

Any time a high-ranking official puts nearly $2 million of his own money on the table – I take notice.

I’ll be diving deeper into more insider buy activity in this afternoon’s Trade of the Day issue – stay tuned.

Action Plan: Biotech is one of our highest-conviction sectors for 2026, and ARDX is just one piece of the puzzle.

Bryan and I recently reccomended 3 biotech stocks in our latest Monument Trend Advisory report.

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