Lipocine Stock Buy Hold or Sell Recommendation

LPCN -  USA Stock  

USD 1.07  0.07  6.14%

Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Lipocine is 'Strong Hold'. Macroaxis provides Lipocine buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Lipocine positions. The advice algorithm takes into account all of Lipocine's available fundamental, technical, and predictive indicators you will find on this site.

Lipocine Advice 

 
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The advice is provided from Lipocine's buy-and-hold perspective. Additionally, see Lipocine Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Lipocine and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Lipocine.

Execute Lipocine Buy or Sell Advice

The Lipocine recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Lipocine. Macroaxis does not own or have any residual interests in Lipocine or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Lipocine's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell LipocineBuy Lipocine
Strong Hold

Volatility

Very riskyDetails

Hype Condition

Over hypedDetails

Current Valuation

UndervaluedDetails

Odds of Distress

Very SmallDetails

Economic Sensitivity

Almost mirrors the marketDetails

Analyst Consensus

Strong BuyDetails

Financial Strenth (F Score)

FrailDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Lipocine has a Risk Adjusted Performance of (0.018519), Jensen Alpha of (0.13), Total Risk Alpha of (0.19) and Treynor Ratio of (0.09)
We provide investment recommendation to complement the last-minute expert consensus on Lipocine. Our dynamic recommendation engine harnesses a multidimensional algorithm to analyze the entity's potential to grow using all technical and fundamental data available at the time. To make sure Lipocine is not overpriced, please verify all Lipocine fundamentals, including its number of employees, working capital, as well as the relationship between the current ratio and net income . Given that Lipocine is a hitting penny stock territory we strongly suggest to closely look at its price to earning.

Lipocine Trading Alerts and Improvement Suggestions

Lipocine generated a negative expected return over the last 90 days
Lipocine has some characteristics of a very speculative penny stock
Lipocine has high historical volatility and very poor performance
The company reported the previous year's revenue of 54.99 K. Net Loss for the year was (17.77 M) with loss before overhead, payroll, taxes, and interest of (5.05 M).
Lipocine currently holds about 38.66 M in cash with (14.27 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.44.
Lipocine has a frail financial position based on the latest SEC disclosures
Latest headline from MacroaxisInsider: Acquisition by Mahesh Patel of 125000 shares of Lipocine subject to Rule 16b-3

Lipocine current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Lipocine analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Lipocine analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price4.75
Target Median Price3.25
Target High Price10.00
Recommendation Mean1.70
Number Of Analyst Opinions4
Target Low Price2.50
Average Consensus Strong Buy
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Lipocine Returns Distribution Density

The distribution of Lipocine's historical returns is an attempt to chart the future uncertainty of Lipocine's future price movements. The chart of the probability distribution of Lipocine stock daily returns describes the distribution of returns around its average expected value. We use Lipocine price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Lipocine returns is essential to provide solid investment advice for Lipocine stock.
Mean Return-0.1Value At Risk-5.08
Potential Upside5.94Standard Deviation3.30
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Lipocine historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Lipocine Cash Flow Accounts

201620172018201920202021 (projected)
Depreciation Amortization and Accretion31.96 K28.37 K18.59 K15.44 K3.55 K3.65 K
Net Cash Flow or Change in Cash and Cash Equivalents(14.45 M)(2.35 M)9.87 M1.65 M9.49 M10.24 M
Issuance Purchase of Equity Shares605.87 K11.23 M652.33 K13.65 M22.33 M17.82 M
Net Cash Flow from Financing605.87 K11.23 M10.65 M10.32 M20.9 M17.3 M
Net Cash Flow from Investing3.23 M3.13 M11.29 M3 M3.89 M4.2 M
Net Cash Flow Investment Acquisitions and Disposals3.3 M3.13 M11.29 M3 M3.89 M4.2 M
Net Cash Flow from Operations(18.28 M)(16.7 M)(12.08 M)(11.67 M)(15.3 M)(16.51 M)
Share Based Compensation2.37 M2.72 M1.46 M1.04 M1.37 M1.57 M

Lipocine Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Lipocine or Healthcare sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Lipocine stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Lipocine stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
-0.13
β
Beta against DOW1.15
σ
Overall volatility
3.31
Ir
Information ratio -0.04

Lipocine Volatility Alert

Lipocine exhibits very low volatility with skewness of 0.28 and kurtosis of -0.21. However, we advise investors to further study Lipocine technical indicators to make sure all market info is available and is reliable. Lipocine is a potential penny stock. Although Lipocine may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Lipocine. We encourage investors to look for the signals such us email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Lipocine instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of an artificial hype usually unable to maintain its increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.

Lipocine Fundamentals Vs Peers

Comparing Lipocine's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Lipocine's direct or indirect competition across all of the common fundamentals between Lipocine and the related equities. This way, we can detect undervalued stocks with similar characteristics as Lipocine or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Lipocine's fundamental indicators could also be used in its relative valuation, which is a method of valuing Lipocine by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Lipocine to competition
FundamentalsLipocinePeer Average
Return On Equity(75.11) %(0.31) %
Return On Asset(27.71) %(0.14) %
Current Valuation54.53 M16.62 B
Shares Outstanding88.29 M571.82 M
Shares Owned by Insiders2.53 %10.09 %
Shares Owned by Institutions10.48 %39.21 %
Number of Shares Shorted4.16 M4.71 M
Price to Earning(11.04) X28.72 X
Price to Book2.33 X9.51 X
Revenue54.99 K9.43 B
Gross Profit(5.05 M)27.38 B
EBITDA(14.44 M)3.9 B
Net Income(17.77 M)570.98 M
Cash and Equivalents38.66 M2.7 B
Cash per Share0.44 X5.01 X
Total Debt3.14 M5.32 B
Debt to Equity0.1 %48.70 %
Current Ratio6.28 X2.16 X
Book Value Per Share0.48 X1.93 K
Cash Flow from Operations(14.27 M)971.22 M
Short Ratio5.32 X4.00 X
Earnings Per Share(0.28) X3.12 X
Number of Employees1118.84 K
Beta0.38-0.15
Market Capitalization98.89 M19.03 B
Total Asset29.55 M29.47 B
Retained Earnings(155.04 M)9.33 B
Working Capital27.84 M1.48 B
Current Asset29.41 M9.34 B
Current Liabilities1.57 M7.9 B
Z Score11.68.72
   Acquisition by Mahesh Patel of 125000 shares of Lipocine subject to Rule 16b-3 [view details]

About Lipocine Buy or Sell Advice

When is the right time to buy or sell Lipocine? Buying financial instruments such as Lipocine Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Lipocine investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2018 2019 2020 2021 (projected)
Accounts Payable671.28 K1.18 M1.06 M972.03 K
Receivables38.51 K16.52 K19 K19.5 K

Use Investing Ideas to Build Portfolios

In addition to having Lipocine in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Driverless Cars Thematic Idea Now

Driverless Cars
Driverless Cars Theme
Large technology companies, automotive makers, security firms, and thematic ETFs across multiple industries that are directly or indirectly involved in shaping up the development and marketing of self-driving vehicles. Driverless Cars theme has 35 constituents.
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Additionally, see Lipocine Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Lipocine information on this page should be used as a complementary analysis to other Lipocine's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Equity Valuation module to check real value of public entities based on technical and fundamental data.

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Is Lipocine's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lipocine. If investors know Lipocine will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lipocine listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Lipocine is measured differently than its book value, which is the value of Lipocine that is recorded on the company's balance sheet. Investors also form their own opinion of Lipocine's value that differs from its market value or its book value, called intrinsic value, which is Lipocine's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lipocine's market value can be influenced by many factors that don't directly affect Lipocine's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Lipocine's value and its price as these two are different measures arrived at by different means. Investors typically determine Lipocine value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lipocine's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.