Is Novocure Stock a Good Investment?
Novocure Investment Advice | NVCR |
- Examine Novocure's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Novocure's leadership team and their track record. Good management can help Novocure navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Health Care Equipment & Supplies space and any emerging trends that could impact Novocure's business and its evolving consumer preferences.
- Compare Novocure's performance and market position to its competitors. Analyze how Novocure is positioned in terms of product offerings, innovation, and market share.
- Check if Novocure pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Novocure's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Novocure stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Novocure is a good investment.
Sell | Buy |
Strong Sell
Market Performance | OK | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Frail | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine Novocure Stock
Researching Novocure's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 87.0% of the company shares are owned by institutional investors. The company has Price/Earnings (P/E) ratio of 721.15. Novocure recorded a loss per share of 1.39. The entity had not issued any dividends in recent years.
To determine if Novocure is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Novocure's research are outlined below:
| Novocure is way too risky over 90 days horizon | |
| Novocure appears to be risky and price may revert if volatility continues | |
| The company reported the previous year's revenue of 509.34 M. Net Loss for the year was (207.04 M) with profit before overhead, payroll, taxes, and interest of 442.26 M. | |
| Novocure currently holds about 948.52 M in cash with (73.34 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 9.06. | |
| Novocure has a frail financial position based on the latest SEC disclosures | |
| Over 87.0% of the company shares are owned by institutional investors | |
| Latest headline from finance.yahoo.com: Investing in NovoCure a year ago would have delivered you a 85 percent gain |
Novocure Quarterly Liabilities And Stockholders Equity |
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Novocure uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Novocure. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Novocure's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 22nd of February 2024 Upcoming Quarterly Report | View | |
| 2nd of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 22nd of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Novocure's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Novocure's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2020-07-30 | 2020-06-30 | 0.0052 | 0.02 | 0.0148 | 284 | ||
2020-04-30 | 2020-03-31 | 0.02 | 0.04 | 0.02 | 100 | ||
2020-02-27 | 2019-12-31 | 0.02 | 0.04 | 0.02 | 100 | ||
2018-10-25 | 2018-09-30 | -0.15 | -0.13 | 0.02 | 13 | ||
2017-04-27 | 2017-03-31 | -0.24 | -0.21 | 0.03 | 12 | ||
2019-02-28 | 2018-12-31 | -0.13 | -0.17 | -0.04 | 30 | ||
2017-10-26 | 2017-09-30 | -0.17 | -0.13 | 0.04 | 23 | ||
2024-10-30 | 2024-09-30 | -0.3342 | -0.28 | 0.0542 | 16 |
Know Novocure's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Novocure is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Novocure backward and forwards among themselves. Novocure's institutional investor refers to the entity that pools money to purchase Novocure's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Voloridge Investment Management, Llc | 2024-09-30 | 1 M | Federated Hermes Inc | 2024-09-30 | 997.4 K | Two Sigma Advisers, Llc | 2024-09-30 | 963.9 K | Northern Trust Corp | 2024-09-30 | 923.5 K | Ubs Asset Mgmt Americas Inc | 2024-09-30 | 908 K | Frontier Capital Management Co Inc | 2024-09-30 | 871.4 K | Balyasny Asset Management Llc | 2024-09-30 | 839.2 K | Charles Schwab Investment Management Inc | 2024-09-30 | 824.4 K | Goldman Sachs Group Inc | 2024-09-30 | 785.7 K | Fmr Inc | 2024-09-30 | 16.2 M | Blackrock Inc | 2024-09-30 | 12.8 M |
Novocure's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 2.76 B.Market Cap |
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Novocure's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.16) | (0.17) | |
| Return On Capital Employed | (0.22) | (0.23) | |
| Return On Assets | (0.16) | (0.17) | |
| Return On Equity | (0.51) | (0.54) |
Determining Novocure's profitability involves analyzing its financial statements and using various financial metrics to determine if Novocure is a good buy. For example, gross profit margin measures Novocure's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Novocure's profitability and make more informed investment decisions.
Novocure's Earnings Breakdown by Geography
Evaluate Novocure's management efficiency
Novocure has return on total asset (ROA) of (0.0793) % which means that it has lost $0.0793 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (0.3971) %, meaning that it created substantial loss on money invested by shareholders. Novocure's management efficiency ratios could be used to measure how well Novocure manages its routine affairs as well as how well it operates its assets and liabilities. As of 01/31/2025, Return On Tangible Assets is likely to drop to -0.17. In addition to that, Return On Capital Employed is likely to drop to -0.23. At this time, Novocure's Total Assets are relatively stable compared to the past year. As of 01/31/2025, Non Current Assets Total is likely to grow to about 134.9 M, while Other Current Assets are likely to drop slightly above 6.6 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 3.07 | 2.53 | |
| Tangible Book Value Per Share | 3.07 | 2.53 | |
| Enterprise Value Over EBITDA | (9.95) | (9.45) | |
| Price Book Value Ratio | 3.94 | 3.75 | |
| Enterprise Value Multiple | (9.95) | (9.45) | |
| Price Fair Value | 3.94 | 3.75 | |
| Enterprise Value | 1.7 B | 1.7 B |
Novocure showcases strong leadership that adapts to market changes and drives innovation. Our analysis explores how this adaptability affects the stock's investment appeal.
Beta 0.705 |
Basic technical analysis of Novocure Stock
As of the 31st of January, Novocure secures the Downside Deviation of 3.92, mean deviation of 3.71, and Risk Adjusted Performance of 0.1118. In connection with fundamental indicators, the technical analysis model lets you check existing technical drivers of Novocure, as well as the relationship between them. Please verify Novocure jensen alpha and downside variance to decide if Novocure is priced some-what accurately, providing market reflects its recent price of 25.51 per share. Given that Novocure has jensen alpha of 0.8713, we recommend you to check Novocure's last-minute market performance to make sure the company can sustain itself at a future point.Novocure's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Novocure insiders, such as employees or executives, is commonly permitted as long as it does not rely on Novocure's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Novocure insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Novocure's Outstanding Corporate Bonds
Novocure issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Novocure uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Novocure bonds can be classified according to their maturity, which is the date when Novocure has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| MPLX LP 4125 Corp BondUS55336VAK61 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| International Game Technology Corp BondUS460599AD57 | View | |
| BNP Paribas FRN Corp BondUSF1R15XK367 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View | |
| Valero Energy Partners Corp BondUS91914JAA07 | View |
Understand Novocure's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Novocure's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1118 | |||
| Market Risk Adjusted Performance | 12.91 | |||
| Mean Deviation | 3.71 | |||
| Semi Deviation | 3.27 | |||
| Downside Deviation | 3.92 | |||
| Coefficient Of Variation | 811.27 | |||
| Standard Deviation | 7.2 | |||
| Variance | 51.83 | |||
| Information Ratio | 0.1094 | |||
| Jensen Alpha | 0.8713 | |||
| Total Risk Alpha | 0.1024 | |||
| Sortino Ratio | 0.201 | |||
| Treynor Ratio | 12.9 | |||
| Maximum Drawdown | 57.95 | |||
| Value At Risk | (5.05) | |||
| Potential Upside | 8.9 | |||
| Downside Variance | 15.34 | |||
| Semi Variance | 10.67 | |||
| Expected Short fall | (4.40) | |||
| Skewness | 4.65 | |||
| Kurtosis | 30.78 |
| Risk Adjusted Performance | 0.1118 | |||
| Market Risk Adjusted Performance | 12.91 | |||
| Mean Deviation | 3.71 | |||
| Semi Deviation | 3.27 | |||
| Downside Deviation | 3.92 | |||
| Coefficient Of Variation | 811.27 | |||
| Standard Deviation | 7.2 | |||
| Variance | 51.83 | |||
| Information Ratio | 0.1094 | |||
| Jensen Alpha | 0.8713 | |||
| Total Risk Alpha | 0.1024 | |||
| Sortino Ratio | 0.201 | |||
| Treynor Ratio | 12.9 | |||
| Maximum Drawdown | 57.95 | |||
| Value At Risk | (5.05) | |||
| Potential Upside | 8.9 | |||
| Downside Variance | 15.34 | |||
| Semi Variance | 10.67 | |||
| Expected Short fall | (4.40) | |||
| Skewness | 4.65 | |||
| Kurtosis | 30.78 |
Consider Novocure's intraday indicators
Novocure intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Novocure stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 19260.76 | |||
| Daily Balance Of Power | (0.01) | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 25.98 | |||
| Day Typical Price | 25.82 | |||
| Price Action Indicator | (0.47) | |||
| Period Momentum Indicator | (0.01) |
Novocure Corporate Filings
F4 | 15th of January 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 13th of January 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F3 | 6th of January 2025 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
8K | 17th of December 2024 An amendment to a previously filed Form 8-K | ViewVerify |
Novocure Stock media impact
Far too much social signal, news, headlines, and media speculation about Novocure that are available to investors today. That information is available publicly through Novocure media outlets and privately through word of mouth or via Novocure internal channels. However, regardless of the origin, that massive amount of Novocure data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Novocure news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Novocure relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Novocure's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Novocure alpha.
Novocure Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Novocure can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Novocure Historical Investor Sentiment
Investor biases related to Novocure's public news can be used to forecast risks associated with an investment in Novocure. The trend in average sentiment can be used to explain how an investor holding Novocure can time the market purely based on public headlines and social activities around Novocure. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Novocure's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Novocure and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Novocure news discussions. The higher the estimate score, the more favorable the investor's outlook on Novocure.
Novocure Maximum Pain Price Across March 21st 2025 Option Contracts
Novocure's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Novocure close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Novocure's options.
Novocure Corporate Management
| Piet MD | Head VP | Profile | |
| William Burke | Chief Officer | Profile | |
| Frank Leonard | Executive Oncology | Profile | |
| Christoph Brackmann | Chief Officer | Profile | |
| Uri MD | Chief Officer | Profile | |
| Pritesh Shah | Chief Commercial Officer | Profile |
Additional Tools for Novocure Stock Analysis
When running Novocure's price analysis, check to measure Novocure's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Novocure is operating at the current time. Most of Novocure's value examination focuses on studying past and present price action to predict the probability of Novocure's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Novocure's price. Additionally, you may evaluate how the addition of Novocure to your portfolios can decrease your overall portfolio volatility.