GW Pharmaceuticals plc (NASDAQ:GWPH) has a beta of 1.94, a 12-month trailing P/E ratio of 116.47. The stock’s Relative Strength Index (RSI) is 46.21, with weekly volatility at 4.14% and ATR at 5.36. The GWPH stock’s 52-week price range has touched low of $67.98 and a $180.75 high. Its shares traded lower over the last trading session, losing -3.86% on 06/26/20. The shares fell to a low of $118.60 before closing at $120.20. Intraday shares traded counted 0.34 million, which was 9.73% higher than its 30-day average trading volume of 373.16K. GWPH’s previous close was $125.02 while the outstanding shares total 31.15M.
Investors have identified the Drug Manufacturers – General company GW Pharmaceuticals plc as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $3.89 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
GW Pharmaceuticals plc (GWPH) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 672746000 million total, with 103472000 million as their total liabilities.
GWPH were able to record -25.49 million as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by -36.0 million. In cash movements, the company had a total of -18.6 million as operating cash flow.
Potential earnings growth for GW Pharmaceuticals plc (GWPH)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, GW Pharmaceuticals plc recorded a total of 120.63 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 67.47% coming in sequential stages and their sales for the third quarter increasing by 9.58%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 10.77 million trying to sell their products during the last quarter, with the result yielding a gross income of 109.86 million. This allows shareholders to hold on to 31.15M with the revenue now reading -0.24 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (-0.88 cents a share).
Having a look at the company’s valuation, the company is expected to record -0.24 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on GWPH sounds very interesting.
Is the stock of GWPH attractive?
In related news, Chief Medical Officer, Knappertz Volker sold 18,000 shares of the company’s stock in a transaction that recorded on Jun 17. The sale was performed at an average price of 10.35, for a total value of 186,300. As the sale deal closes, the Executive Chairman, GUY GEOFFREY W DR now sold 720,000 shares of the company’s stock, valued at 7,376,400. Also, Chief Financial Officer, Giacobello Scott M. bought 7,200 shares of the company’s stock in a deal that was recorded on Mar 13. The shares were price at an average price of 6.80 per share, with a total market value of 48,960. Following this completion of acquisition, the Executive Chairman, GUY GEOFFREY W DR now holds 600,000 shares of the company’s stock, valued at 3,978,000. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.12%.
16 out of 16 analysts covering the stock have rated it a Buy, while 0 have maintained a Hold recommendation on GW Pharmaceuticals plc. 0 analysts has assigned a Sell rating on the GWPH stock. The 12-month mean consensus price target for the company’s shares has been set at $188.63.