Luminex Corporation (NASDAQ:LMNX) – Insider Buy

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Dallas, Texas 09/05/2013 (Financialstrend) – Luminex Corporation (NASDAQ:LMNX) engages itself in developing, manufacturing and selling biological testing and products with applications for the life sciences and diagnostic industries. The company operates in two business segments: Technology & Strategic Partnerships, and Assays & Related Products. Its Technology & Strategic Partnerships segment offers the company’s xMAP technology to its partners. And the Assays & Related Products segment utilizes xMAP technology on its installed base of systems for the development and sale of assays.

The old saying on Wall Street for insider buying says, there are many reasons for an insider to sell a stock but only one reason to purchase which is: they expect to make money. So let’s look at the noteworthy recent insider buy.

LMNX’s Director, G Walter Loewenbaum II raised his stake to 864,662 shares after purchase of 6034 shares in the open market transaction. Transactions were made on August 29, for 2034 shares at the cost of $20.96 per share and also on August 30, for 4000 shares at the cost of $20.45 per share – as per the filing with the SEC. The average cost stands out to be $20.62 per share with a total valuation of $124,421. Before this latest buy, the Director also bought LMNX at 11 times during the past year, for a total cost of $4.32M with an average of $18.07 per share.

Recently some analysts have commented on the stock. And in the summary they all have a “neutral” rating for the stock with the consensus rating of “Hold” for the company at an average target price of $21.00.

The company’s last report for 2Q13 showed EPS of $0.17 and revenue of $54.30 million for the quarter, compared to consensus estimate of $0.10 for EPS and $54.16 million for revenue. However, during 2Q12 the company reported $0.07 earnings per share and analyst expect that for the current fiscal year the company will post EPS of $0.43.

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