NovoCure (NASDAQ:NVCR) Shares Gap Down on Disappointing Earnings

Shares of NovoCure Limited (NASDAQ:NVCR) gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $21.96, but opened at $20.12. NovoCure shares last traded at $19.94, with a volume of 314,591 shares trading hands.

The medical equipment provider reported ($0.61) EPS for the quarter, missing analysts’ consensus estimates of ($0.34) by ($0.27). NovoCure had a negative return on equity of 41.48% and a negative net margin of 25.93%.

Wall Street Analysts Forecast Growth

NVCR has been the subject of several research reports. HC Wainwright reaffirmed a “buy” rating and issued a $38.00 price target on shares of NovoCure in a research report on Tuesday, January 14th. Wedbush reissued a “neutral” rating and set a $29.00 target price on shares of NovoCure in a research report on Monday, January 13th. Piper Sandler raised their price target on shares of NovoCure from $28.00 to $42.00 and gave the stock an “overweight” rating in a report on Friday, December 13th. Finally, Evercore ISI raised shares of NovoCure from an “in-line” rating to an “outperform” rating and raised their price target for the stock from $18.00 to $30.00 in a report on Monday, December 2nd. Two analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $32.67.

Institutional Trading of NovoCure

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. GeoWealth Management LLC purchased a new stake in shares of NovoCure during the fourth quarter worth about $27,000. Brooklyn Investment Group purchased a new stake in shares of NovoCure during the third quarter worth about $45,000. Lindbrook Capital LLC increased its stake in shares of NovoCure by 189.2% during the fourth quarter. Lindbrook Capital LLC now owns 1,854 shares of the medical equipment provider’s stock worth $55,000 after purchasing an additional 1,213 shares in the last quarter. Blue Trust Inc. increased its stake in shares of NovoCure by 70.7% during the fourth quarter. Blue Trust Inc. now owns 1,886 shares of the medical equipment provider’s stock worth $56,000 after purchasing an additional 781 shares in the last quarter. Finally, Venturi Wealth Management LLC increased its stake in shares of NovoCure by 58.5% during the third quarter. Venturi Wealth Management LLC now owns 3,669 shares of the medical equipment provider’s stock worth $57,000 after purchasing an additional 1,354 shares in the last quarter. Institutional investors and hedge funds own 84.61% of the company’s stock.

NovoCure Stock Down 7.1 %

The firm has a market cap of $2.21 billion, a PE ratio of -14.57 and a beta of 0.62. The business’s 50 day moving average price is $26.03 and its 200 day moving average price is $21.42. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.49 and a quick ratio of 1.44.

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.