An interesting stock that came up in some of our conversations today is NovoCure Limited (NASDAQ:NVCR). At current price of $89.35, the shares have already added 4.96 points (5.88% higher) from its previous close of $84.39. Should you buy or avoid them? The stock sets an active trading volume day with a reported 319426 contracts so far this session. NVCR shares had a relatively better volume day versus average trading capacity of 826.83 thousand shares, but with a 82.79 million float and a 5.91% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for NVCR stock indicates that the average analyst price target is $90.43 per share. This means the stock has a potential increase of 1.21% from where the NVCR share price has been trading recently.
During the recent trading session for NovoCure Limited (NASDAQ:NVCR), the company witnessed their stock rise $8.1 over a week and surge $6.25 from the price 20 days ago. When compared to their established 52-week high of $98.7, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 08/21/19. The recent low of $41.51 stood for a -9.47% since 04/17/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 2.34 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.
Looking at the current readings for NovoCure Limited, the two-week RSI stands at 61.38. This figure suggests that NVCR stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current NVCR readings is similarly very revealing as it has a stochastic reading of 73.54% at this stage. This figure means that NVCR share price today is being oversold.
Technical chart claims that NovoCure Limited (NVCR) would settle between $85.54/share to $86.68/share level. However, if the stock price goes below the $82.87 mark, then the market for NovoCure Limited becomes much weaker. If that happens, the stock price might even plunge as low as $81.34 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 3.27. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at Evercore ISI lowered their recommendation on shares of NVCR from Outperform to In-line in their opinion released on January 02. SunTrust analysts bumped their rating on NovoCure Limited (NASDAQ:NVCR) stock from Hold to Buy in a separate flash note issued to investors on July 29. Analysts at Wedbush lowered the stock to a Neutral call from its previous Outperform recommendation, in a research note that dated back to July 26.
NVCR equity has an average rating of 2.36, with the figure leaning towards a bullish end. 7 analysts who tracked the company were contacted by Reuters. Amongst them, 4 rated the stock as a hold while the remaining 3 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 3 analysts rated NovoCure Limited (NASDAQ:NVCR) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, NVCR stock price is currently trading at 213.65X forward 12-month Consensus EPS estimates, and its P/E ratio is 0 while for the average stock in the same group, the multiple is 67. NovoCure Limited current P/B ratio of 43.9 means it is trading at a premium against its industry’s 4.4.
NovoCure Limited (NVCR)’s current-quarter revenues are projected to climb by nearly 37.3% to hit $95.65 million, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over 40.2% from $248070 to a noteworthy $347690. At the other end of the current quarter income statement, NovoCure Limited is expected to see its adjusted earnings surge by roughly 105.9% to hit $0.01 per share. For the fiscal year, NVCR’s earnings are projected to climb by roughly 84.1% to hit $-0.11 per share.