Clovis Oncology Inc. [NASDAQ: CLVS] gained 5.02% or 0.21 points to close at $4.39 with a heavy trading volume of 6220079 shares. The company report on November 25, 2020 that Clovis Oncology Announces Exercise by Existing Holder of Option to Purchase an Additional $7.5 Million Aggregate Principal Amount of the Company’s 4.50% Convertible Senior Notes Due 2024.
Clovis Oncology, Inc. (NASDAQ: CLVS) announced that pursuant to the terms of that previously announced Exchange and Purchase Agreement, dated as of November 4, 2020, by and between Clovis Oncology and an existing holder of its securities named therein (the “Holder”) relating to the offering of the Company’s new series of 4.50% Convertible Senior Notes due 2024 (the “New 2024 Notes”), such Holder has elected to exercise its option to purchase an additional $7.5 million aggregate principal amount of the New 2024 Notes on the same terms. The settlement of the option is expected to occur on November 27, 2020, subject to customary closing conditions. Following the closing, there will be a total of $57.5 million aggregate principal amount of the New 2024 Notes outstanding.
Clovis Oncology intends to use the net proceeds from the sale of the New 2024 Notes for general corporate purposes, including repayment, repurchase or refinance of its debt obligations, sales and marketing expenses associated with Rubraca® (rucaparib), funding of its development programs, payment of milestones pursuant to its license agreements, general and administrative expenses, acquisition or licensing of additional product candidates or businesses and working capital.
It opened the trading session at $4.23, the shares rose to $4.50 and dropped to $4.13, the range by which the price of stock traded the whole day. The daily chart for CLVS points out that the company has recorded -37.73% loss over the past six months. However, it is still -21.27% lower than its most recent low trading price.
If we look at the average trading volume of 4.67M shares, CLVS reached to a volume of 6220079 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here is what top equities market gurus are saying about Clovis Oncology Inc. [CLVS]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for CLVS shares is $7.33 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on CLVS stock is a recommendation set at 3.30. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
H.C. Wainwright have made an estimate for Clovis Oncology Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on May 18, 2020. The new note on the price target was released on April 27, 2020, representing the official price target for Clovis Oncology Inc. stock. Previously, the target price had yet another raise to $6, while BofA/Merrill analysts kept a Underperform rating on CLVS stock. On January 08, 2020, analysts decreased their price target for CLVS shares from 36 to 27.
The Average True Range (ATR) for Clovis Oncology Inc. is set at 0.29, with the Price to Sales ratio for CLVS stock in the period of the last 12 months amounting to 2.45.
Trading performance analysis for CLVS stock
Clovis Oncology Inc. [CLVS] fell into the red zone at the end of the last week, falling into a negative trend and dropping by 0.00. With this latest performance, CLVS shares dropped by -16.22% in over the last four-week period, additionally sinking by -37.73% over the last 6 months – not to mention a drop of -57.25% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for CLVS stock in for the last two-week period is set at 42.32, with the RSI for the last a single of trading hit 45.82, and the three-weeks RSI is set at 42.37 for Clovis Oncology Inc. [CLVS]. The present Moving Average for the last 50 days of trading for this stock 5.43, while it was recorded at 4.26 for the last single week of trading, and 6.49 for the last 200 days.
Clovis Oncology Inc. [CLVS]: A deeper dive into fundamental analysis
Operating Margin for any stock indicates how profitable investing would be, and Clovis Oncology Inc. [CLVS] shares currently have an operating margin of -256.85 and a Gross Margin at +75.75. Clovis Oncology Inc.’s Net Margin is presently recorded at -280.01.
Return on Total Capital for CLVS is now -58.15, given the latest momentum, and Return on Invested Capital for the company is -63.72. Additionally, CLVS Total Debt to Total Capital is recorded at 132.25, with Total Debt to Total Assets ending up at 106.72.
Reflecting on the efficiency of the workforce at the company, Clovis Oncology Inc. [CLVS] managed to generate an average of -$827,322 per employee. Receivables Turnover for the company is 5.74 with a Total Asset Turnover recorded at a value of 0.19.Clovis Oncology Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 2.10 and a Current Ratio set at 2.30.
Clovis Oncology Inc. [CLVS]: An earnings per share (EPS) analysis
With the latest financial reports released by the company, Clovis Oncology Inc. posted -1.81/share EPS, while the average EPS was predicted by analysts to be reported at -1.71/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -5.80%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for CLVS. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Clovis Oncology Inc. go to 78.90%.
An analysis of insider ownership at Clovis Oncology Inc. [CLVS]
There are presently around $229 million, or 61.30% of CLVS stock, in the hands of institutional investors. The top three institutional holders of CLVS stocks are: STATE STREET CORP with ownership of 9,646,730, which is approximately 4.416% of the company’s market cap and around 0.40% of the total institutional ownership; VANGUARD GROUP INC, holding 6,182,479 shares of the stock with an approximate value of $27.14 million in CLVS stocks shares; and BLACKROCK INC., currently with $26.15 million in CLVS stock with ownership of nearly 5.904% of the company’s market capitalization.
Positions in Clovis Oncology Inc. stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 89 institutional holders increased their position in Clovis Oncology Inc. [NASDAQ:CLVS] by around 8,672,844 shares. Additionally, 65 investors decreased positions by around 3,213,766 shares, while 38 investors held positions by with 40,270,987 shares. The mentioned changes placed institutional holdings at 52,157,597 shares, according to the latest SEC report filing. CLVS stock had 30 new institutional investments in for a total of 3,340,760 shares, while 23 institutional investors sold positions of 754,929 shares during the same period.