Senator nearly doubles their investment through highly questionable congressional transactions
In recent times, there has been a growing focus on the stock market activities of U.S. politicians, with many attracting both attention and criticism. Some elected officials have been observed making well-timed trades or investing in companies within the sectors they oversee. One such instance is Senator Tina Smith, who in November 2023 made headlines for her stock market activities.
Senator Smith disclosed two purchases of a relatively small medical company called Artivion (NYSE: AORT) totaling up to $200,000. The timing of these trades raised eyebrows as the stock price of AORT surged shortly after Smith’s purchases. It was noted that the company had a market cap of only around $500 million at the time, while Smith herself sits on the Senate Committees on Health.
The first trade took place on November 10 when Artivion stock was valued at $13.33, and the second trade occurred on November 16 when the stock stood at $14.09. By November 24, AORT shares had risen to nearly $18, and the current price of Artivion stands at $25.65, representing a significant increase. This resulted in Senator Smith making up to $93,000 on the first trade and up to $82,000 on the second, with a total return of 87.5%.
Another investment made by Senator Smith in November 2023 was in Tactile Systems (NASDAQ: TCMD), a relatively small medical company. However, unlike Artivion, TCMD has not performed as well in the stock market, rising by only about $1.32 per share since Smith’s investment.
These activities have raised questions about whether politicians are operating on insider information, and if so, whether it guarantees success. It is essential to note that investing is speculative, and the content of this article should not be considered investment advice. When investing, your capital is at risk.
