Nuance Communications Inc. (NASDAQ:NUAN) has a beta of 1.27, a 12-month trailing P/E ratio of 1240.45, and a growth ratio of 238.55. The stock’s Relative Strength Index (RSI) is 66.35, with weekly volatility at 0.42% and ATR at 0.31. The NUAN stock’s 52-week price range has touched low of $23.68 and a $55.10 high. Its shares traded higher over the last trading session, gaining 0.22% on 06/21/21. The shares fell to a low of $54.48 before closing at $54.58. Intraday shares traded counted 2.98 million, which was 68.43% higher than its 30-day average trading volume of 9.43M. NUAN’s previous close was $54.46 while the outstanding shares total 285.28M.
Investors have identified the Software – Application company Nuance Communications Inc. 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 $15.67 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.
Nuance Communications Inc. (NUAN) 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. For NUAN, the company has in raw cash 342.85 million on their books with 1.07 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 782.63 million total, with 1.59 billion as their total liabilities.
NUAN were able to record 116.9 million as free cash flow during the 08/11/2021 quarter of the year, this saw their quarterly net cash flow reduce by 41.62 million. In cash movements, the company had a total of 149.62 million as operating cash flow.
Potential earnings growth for Nuance Communications Inc. (NUAN)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 08/11/2021 quarter of the year, Nuance Communications Inc. recorded a total of 346.98 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 8.95% coming in sequential stages and their sales for the 08/11/2021 quarter increasing by 0.35%.
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 126.64 million trying to sell their products during the last quarter, with the result yielding a gross income of 220.34 million. This allows shareholders to hold on to 285.28M with the recently reported earning now reading -0.01 cents per share. This is a figure that compared to analyst’s prediction for their 08/11/2021 (0.12 cents a share).
Having a look at the company’s valuation, the company is expected to record 0.51 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 NUAN sounds very interesting.
Is the stock of NUAN attractive?
In related news, Director, CARNEY LLOYD sold 36,002 shares of the company’s stock in a transaction that recorded on Jun 08. The sale was performed at an average price of 54.98, for a total value of 1,979,228. As the sale deal closes, the EVP & GM, Enterprise Division, WEIDEMAN ROBERT now sold 11,182 shares of the company’s stock, valued at 615,010. Also, EVP & GM, Healthcare Division, Nole Diana L sold 20,978 shares of the company’s stock in a deal that was recorded on Jun 02. The shares were price at an average price of 53.21 per share, with a total market value of 1,116,248. Following this completion of acquisition, the Chief Executive Officer, Benjamin Mark D now holds 20,828 shares of the company’s stock, valued at 1,094,420. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.90%.
3 out of 7 analysts covering the stock have rated it a Buy, while 4 have maintained a Hold recommendation on Nuance Communications Inc.. 0 analysts has assigned a Sell rating on the NUAN stock. The 12-month mean consensus price target for the company’s shares has been set at $57.00.