The average rating for Verve Therapeutics stock is 'Buy', as determined by 11 analysts. Is this consensus based on technical analyses? It's important to understand that traditional technical analysis typically employs the use of price momentum, patterns, and trends by examining historical prices. The goal is to identify signals based on market sentiment towards Verve Therapeutics, which reflects investors' perception of the stock's future value. Let's delve into a few aspects of the technical analysis for Verve Therapeutics.
Verve Therapeutics (VERV) has recently experienced a price dip, with its last price standing at $15.58
, down from its high price of $16.04
. This dip, coupled with a high short ratio of 14.4
and a short percent of 0.2543
, suggests that the market is bearish on the stock. However, the company's beta of 1.605
indicates that it is more volatile than the market, which could mean potential for high returns if the company's fundamentals
improve. Despite reporting a loss in operating income of $165.7M
and net income from continuing operations of $157.4M
, the company's high trading volume of 1.7M
today suggests that investors are still actively trading the stock. Therefore, this price dip could be a hidden investment opportunity for risk-tolerant investors who believe in the company's long-term potential.
Using predictive technical analysis
, we can analyze different prices and returns patterns and diagnose historical swings
to determine the real value of Verve Therapeutics. In general, sophisticated investors focus on analyzing Verve Therapeutics stock price patterns and their correlations with different microeconomic environment and drivers. They apply predictive analytics to build Verve Therapeutics's daily price indicators and compare them against related drivers such as momentum indicators
and various other types of predictive indicators. Using this methodology combined with a more conventional technical analysis
and fundamental analysis
, we attempt to find the most accurate representation of Verve Therapeutics's intrinsic value. In addition to deriving basic predictive indicators for Verve Therapeutics, many experienced traders also check how macroeconomic factors affect Verve Therapeutics price patterns. Please read more on our technical analysis
page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed many market ups and downs
, frequently view the market will even out over time. This tendency of Verve Therapeutics' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Verve Therapeutics in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Verve Therapeutics. Your research has to be compared to or analyzed against Verve Therapeutics' peers to derive any actionable benefits. When done correctly, Verve Therapeutics' competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Verve Therapeutics.
How important is Verve Therapeutics's Liquidity
Verve Therapeutics financial leverage
refers to using borrowed capital as a funding source to finance Verve Therapeutics ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Verve Therapeutics financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Verve Therapeutics' owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Verve Therapeutics' financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown
between Verve Therapeutics's total debt and its cash.
Verve Therapeutics Gross Profit
Verve Therapeutics Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Verve Therapeutics previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Verve Therapeutics Gross Profit growth over the last 10 years. Please check Verve Therapeutics' gross profit
and other fundamental indicators
for more details.
A Deeper Perspective
This firm has a beta of 2.5443. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Verve Therapeutics will likely underperform. The beta indicator helps investors understand whether Verve Therapeutics moves in the same direction as the rest of the market, and how volatile (i.e., risky) it is compared to the market (i.e., selected benchmark). In other words, if Verve deviates very little from the market, it does not add much risk to the portfolio, but it also doesn't increase the expected returns. The small fall in market price for the last few months may raise some interest from sophisticated investors as it is trading at a share price of 15.58
in trading volume. The company executives did not add much value to Verve Therapeutics investors in October
. However, diversifying your holdings with Verve Therapeutics or similar stocks can still protect your portfolio during high-volatility market scenarios. The stock standard deviation of daily returns for 90 days investing horizon is currently 6.01.
The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Verve Therapeutics partners. "Buy when there's blood in the streets," goes the old investment adage. In the case of Verve Therapeutics, the recent price dip might indeed be a hidden investment opportunity. Despite a high 52-week range of $27.93, the biotech firm's shares have been trading around a 50-day moving average of $12.01, a significant decrease. However, with a strong current ratio of 11.55X and net assets totaling $679.22M
, the company's financial health
appears solid. Moreover, the firm's significant institutional ownership of 89.68% suggests confidence from large-scale investors. Yet, it's important to note the company's high short ratio of 14.40X, indicating a substantial number of investors betting against the stock. The company's high kurtosis of 7.62 also signals extreme outlier events, indicating potential volatility. Despite these risks, with a target price of $44.22, there may be significant upside for investors willing to weather the storm. .
Will Verve Therapeutics latest climb continue?
Verve Therapeutics' most recent market risk-adjusted performance is at -0.11, indicating a performance that is negative relative to the risk assumed by the company. This suggests that the company's recent upward trend may encounter some obstacles in the near future. Investors are advised to closely monitor the company's financial health
and prevailing market conditions before making any investment decisions. Despite the company demonstrating some promising growth, the negative risk-adjusted performance implies potential volatility and uncertainty in its future performance
. Verve Therapeutics has exhibited above-average volatility over the chosen time period. Investors are encouraged to examine Verve Therapeutics independently to ensure that their intended market timing
strategies align with their expectations about the company's volatility. Understanding different market volatility
trends can often assist investors in timing the market. Proper use of volatility indicators allows traders to gauge the risk of Verve Therapeutics' stock against market volatility during both bullish and bearish trends. The increased level of volatility that accompanies bear markets can directly affect Verve Therapeutics' stock price
, causing stress for investors as they watch the value of their shares decline.
This typically compels investors to rebalance their portfolios by purchasing different stocks as prices drop. In light of the recent price fall of Verve Therapeutics, it is crucial to evaluate the stock's potential through a comprehensive lens. With an Analyst Overall Consensus of 'Buy', the market sentiment
remains positive. Out of 10 estimates, there are 7 strong buys and 1 buy, suggesting a bullish outlook. The Analyst Target Price Estimated Value stands at $42.8
, indicating a significant upside potential from the current market value of $15.58
. The possible upside price is $21.22, while the downside risk is limited to $9.21. The valuation real value of $21.08 further supports the potential for growth. However, investors should be mindful of the estimated negative EPS of -3.73 for the next fiscal year ending in December. Therefore, while the recent price fall may be concerning, the data suggests that Verve Therapeutics holds potential for substantial returns in the long run. .
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