4 analysts have expressed a variety of opinions on NovoCure (NASDAQ:NVCR) over the past quarter, offering a diverse set of opinions from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 1 | 3 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 1 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 1 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $23.0, a high estimate of $28.00, and a low estimate of $20.00. This current average reflects an increase of 7.58% from the previous average price target of $21.38.
Investigating Analyst Ratings: An Elaborate Study
A comprehensive examination of how financial experts perceive NovoCure is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Vijay Kumar | Evercore ISI Group | Raises | In-Line | $20.00 | $14.50 |
| Emily Bodnar | HC Wainwright & Co. | Maintains | Neutral | $22.00 | $22.00 |
| Emily Bodnar | HC Wainwright & Co. | Lowers | Neutral | $22.00 | $24.00 |
| Jason Bednar | Piper Sandler | Raises | Overweight | $28.00 | $25.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to NovoCure. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of NovoCure compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of NovoCure's stock. This examination reveals shifts in analysts' expectations over time.
Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of NovoCure's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.
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About NovoCure
NovoCure Ltd serves in the healthcare sector of the United States. Its business involves the development, manufacture and commercialization of Tumor Treating Fields (TTFields) devices, including Optune Gio and Optune Lua, for the treatment of solid tumor cancers. Its pipeline consists of Trident, Lunar-2, Panova-3, Metis and other products and technologies for the treatment of Glioblastoma, Non-smell cell lung cancer and Pancreatic cancer. Geographically, the company derives majority of its revenue from the United States and rest from Germany, Japan and other markets.
Breaking Down NovoCure's Financial Performance
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
Positive Revenue Trend: Examining NovoCure's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 13.36% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Health Care sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: NovoCure's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -27.98%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): NovoCure's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -10.74%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): NovoCure's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -3.42%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: NovoCure's debt-to-equity ratio surpasses industry norms, standing at 1.66. This suggests the company carries a substantial amount of debt, posing potential financial challenges.
What Are Analyst Ratings?
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.