ANI Pharmaceuticals (ANIP)

[Casual Investor 2021]

I first bought some stock on May 6 after recently pulling it up on a screener.

I think the market may be fatigued with the several-year Cortrophin story. They've been talking about it for so long, apparently the previous CEO would also hype it.

And it's not an easy stock to follow outside of earnings releases. Didn't see any social media, not a lot of news coverage, some of their webpages are old, little analyst coverage, and few press releases. The last two quarters' revenue weren't particularly impressive.

In the current environment a lot of money managers currently prefer large-cap over small-cap. Check out the Russell 2000 vs the S&P 500 lately as an example. ANIP can also tend to trade with certain re-opening stocks which haven't been doing well (whether that makes sense or not). They haven't necessarily participated with the recent overperformance of the Health Care sector lately.

The stock may be undervalued even w/o the Cortrophin story and the upcoming potential merger, that's why I bought it. We'll see what happens of course, but they may need to actually *execute (along with certain macro trends changing) before there's decent stock price movement.

I would recommend they do more to increase their public exposure. But assuming the merger and the new drug comes through, the stock should be all right (which will get priced in then they'll need to look forward), don't know about short-term though. Just my honest observations.