NovoCure Limited (NASDAQ:NVCR) Receives Average Recommendation of "Moderate Buy" from Analysts

Key Points

• NovoCure Limited (NASDAQ: NVCR) currently has a consensus rating of "Moderate Buy", with four analysts recommending a buy and three suggesting a hold.
• The company's recent earnings report showed a 5.6% increase in revenue year-over-year, with an EPS of ($0.36), surpassing analysts’ expectations.
• Insider transactions indicate confidence in the company, as CFO Christoph Brackmann acquired 20,000 shares, increasing their position by 16.51%.

NovoCure Limited (NASDAQ:NVCR - Get Free Report) has earned an average rating of "Moderate Buy" from the seven research firms that are covering the company, MarketBeat reports. Three investment analysts have rated the stock with a hold rating and four have issued a buy rating on the company. The average 1 year target price among analysts that have covered the stock in the last year is $28.7857.

NVCR has been the topic of several recent research reports. Wells Fargo & Company restated an "equal weight" rating and issued a $14.50 price objective (down from $40.00) on shares of NovoCure in a research report on Friday, July 25th. Piper Sandler reissued an "overweight" rating and issued a $34.00 target price on shares of NovoCure in a research note on Friday, June 27th. LADENBURG THALM/SH SH assumed coverage on shares of NovoCure in a report on Tuesday, July 8th. They issued a "buy" rating and a $30.00 target price on the stock. Finally, Wall Street Zen cut shares of NovoCure from a "hold" rating to a "sell" rating in a research note on Friday, April 25th.

Insider Transactions at NovoCure

In other news, CFO Christoph Brackmann bought 20,000 shares of the stock in a transaction on Tuesday, July 29th. The stock was purchased at an average cost of $11.59 per share, with a total value of $231,800.00. Following the purchase, the chief financial officer owned 141,150 shares of the company's stock, valued at approximately $1,635,928.50. The trade was a 16.51% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available at this link. Company insiders own 5.52% of the company's stock.

Institutional Investors Weigh In On NovoCure

Several hedge funds have recently made changes to their positions in the business. GeoWealth Management LLC purchased a new position in NovoCure during the fourth quarter worth about $27,000. GF Fund Management CO. LTD. purchased a new stake in NovoCure in the fourth quarter valued at approximately $68,000. Mirae Asset Global Investments Co. Ltd. increased its holdings in shares of NovoCure by 17.1% during the 2nd quarter. Mirae Asset Global Investments Co. Ltd. now owns 4,307 shares of the medical equipment provider's stock worth $77,000 after buying an additional 629 shares during the last quarter. Headlands Technologies LLC acquired a new position in NovoCure in the second quarter valued at $88,000. Finally, Acadian Asset Management LLC acquired a new position in NovoCure in the first quarter valued at $87,000. Institutional investors and hedge funds own 84.61% of the company's stock.

NovoCure Price Performance

Shares of NVCR traded up $0.52 during mid-day trading on Monday, reaching $12.43. 1,439,076 shares of the company's stock were exchanged, compared to its average volume of 2,073,122. The company has a quick ratio of 1.39, a current ratio of 1.45 and a debt-to-equity ratio of 0.28. NovoCure has a 52-week low of $10.87 and a 52-week high of $34.13. The company has a market cap of $1.39 billion, a price-to-earnings ratio of -7.97 and a beta of 0.61. The company has a 50-day simple moving average of $14.75 and a two-hundred day simple moving average of $17.30.

NovoCure (NASDAQ:NVCR - Get Free Report) last posted its earnings results on Thursday, July 24th. The medical equipment provider reported ($0.36) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.39) by $0.03. The firm had revenue of $158.80 million for the quarter, compared to analyst estimates of $153.87 million. NovoCure had a negative return on equity of 47.74% and a negative net margin of 27.13%.NovoCure's revenue was up 5.6% on a year-over-year basis. During the same quarter in the prior year, the company earned ($0.31) EPS. On average, sell-side analysts predict that NovoCure will post -1.3 EPS for the current fiscal year.

About NovoCure

NovoCure Limited, an oncology company, engages in the development, manufacture, and commercialization of tumor treating fields (TTFields) devices for the treatment of solid tumor cancers in the United States, Germany, Japan, Greater China, and internationally. The company's TTFields devices include Optune Gio and Optune Lua.