A U.S. Senator Just Bought this Tiny Stock - It's Up 15% Today
Recently, Tommy Tuberville, a Republican Senator from Alabama, disclosed 19 new stock trades on April 15th, with particular attention drawn to his 3 trades in Humacyte Inc. (HUMA:US). The stock has surged by 18.5% over the past five days, with a notable 15% gain today.
Humacyte, headquartered in Durham, North Carolina, is a pre-revenue biotech company focused on developing bioengineered human tissue. Despite its promising technology, the company's market valuation stands at $371.5 million, indicating its speculative nature.
Congressional trades, unlike standard market transactions, are exempt from insider trading regulations. Tuberville's position on the Armed Services Committee, coupled with Humacyte's involvement in medical advancements, including applications on the frontlines in Ukraine, raises questions about potential insights driving his investment.
Among Tuberville's recent purchases, Humacyte's acquisition has elicited the most market reaction, considering the company's relatively modest size and Tuberville's possible access to industry-related information.
Further scrutiny may be warranted regarding Tuberville's investment in the Federal Home Loan Mortgage Corporation (FMCC:US), given its small market capitalization and Tuberville's substantial purchase.
Tuberville's active engagement in the stock market is evident, with over 1,000 reported trades, including his frequent trading of Cleveland-Cliffs stock. Notably, Tuberville's history with Humacyte dates back to March 2022, indicating sustained interest in the company.