NovoCure (NASDAQ:NVCR) Hits New 1-Year Low - Here's Why

Key Points

• NovoCure shares hit a **new 52-week low** at $10.87 during trading, closing slightly higher at $10.90 with significant trading volume of **830,502 shares**.
• Despite current challenges, various research firms have set price targets for NovoCure, with **buy ratings** ranging from $30.00 to $34.00, although Wells Fargo reduced its target to **$14.50**.
• Insider buying was noted as CFO Christoph Brackmann purchased **20,000 shares**, indicating potential confidence in the company's future performance despite recent stock price declines.

NovoCure Limited (NASDAQ:NVCR - Get Free Report) shares hit a new 52-week low during mid-day trading on Monday . The company traded as low as $10.87 and last traded at $10.90, with a volume of 830502 shares traded. The stock had previously closed at $11.13.

Wall Street Analysts Forecast Growth

A number of research firms recently weighed in on NVCR. LADENBURG THALM/SH SH began coverage on NovoCure in a report on Tuesday, July 8th. They set a "buy" rating and a $30.00 price target for the company. Piper Sandler reaffirmed an "overweight" rating and set a $34.00 price target on shares of NovoCure in a report on Friday, June 27th. Wells Fargo & Company reaffirmed an "equal weight" rating and set a $14.50 price target (down from $40.00) on shares of NovoCure in a report on Friday, July 25th. Wedbush dropped their price target on NovoCure from $29.00 to $27.00 and set a "neutral" rating for the company in a report on Wednesday, April 16th. Finally, Wall Street Zen cut NovoCure from a "hold" rating to a "sell" rating in a report on Friday, April 25th. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating and four have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $28.79.

NovoCure Price Performance

The stock has a market capitalization of $1.22 billion, a P/E ratio of -6.99 and a beta of 0.61. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.39 and a current ratio of 1.45. The stock has a 50-day simple moving average of $15.85 and a 200 day simple moving average of $18.12.

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

Insiders Place Their Bets

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

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. LPL Financial LLC acquired a new stake in shares of NovoCure in the 4th quarter valued at about $830,000. Envestnet Asset Management Inc. acquired a new stake in shares of NovoCure in the fourth quarter valued at about $273,000. Bank of Montreal Can acquired a new stake in shares of NovoCure in the fourth quarter valued at about $244,000. Invesco Ltd. increased its position in shares of NovoCure by 72.6% in the fourth quarter. Invesco Ltd. now owns 189,474 shares of the medical equipment provider's stock valued at $5,646,000 after acquiring an additional 79,698 shares during the last quarter. Finally, Raymond James Financial Inc. acquired a new stake in shares of NovoCure in the fourth quarter valued at about $348,000. 84.61% of the stock is currently owned by institutional investors.

NovoCure Company Profile

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.

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