By analyzing existing basic indicators between Compugen and NantKwest, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in NantKwest with a short position in Compugen. Check out our
pair correlation module for more information.
Let's begin by analyzing the assets. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Compugen has an asset utilization ratio of 10.1 percent. This suggests that the company is making $0.1 for each dollar of assets. An increasing asset utilization means that Compugen is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two entities, such as Compugen or CCCC is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.
How important is Compugen's Liquidity
Compugen
financial leverage refers to using borrowed capital as a funding source to finance Compugen ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Compugen 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 Compugen's 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 Compugen's 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 Compugen's total debt and its cash.
Correlation Between Compugen and C4 TherapeuticsInc
In general, Stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Compugen together with similar or unrelated positions with a negative correlation. For example, you can also add C4 TherapeuticsInc to your portfolio. If C4 TherapeuticsInc is not perfectly correlated to Compugen it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Compugen, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Are you currently holding both Compugen and C4 TherapeuticsInc in your portfolio? Please note if you are using this as a pair-trade strategy between Compugen and C4 TherapeuticsInc, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses. Please check
pair correlation details between CGEN and CCCC for more information.
What is driving Compugen Investor Appetite?
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Revenue Breakdown
Let me now analyze Compugen revenue. Based on the latest financial disclosure, Compugen reported 7.8
M of revenue. This is 99.9% lower than that of the Healthcare sector and 98.95% lower than that of the
Biotechnology industry. The revenue for all United States stocks is 99.92% higher than that of Compugen. As for NantKwest we see revenue of 59
K, which is 99.99% lower than that of the Biotechnology
| CGEN | 7.8 Million | 1.04 |
| Sector | 742.91 Million | 98.95 |
| NK | 59,000 | 0.007859 |
Compugen has a good chance to finish above $14.57 in 2 months
Latest kurtosis is at 1.83. Compugen is displaying above-average volatility over the selected time horizon. Investors should scrutinize Compugen independently to ensure intended market timing strategies are aligned with expectations about Compugen volatility.
Our Takeaway on Compugen Investment
Whereas other companies in the biotechnology industry are either recovering or due for a correction, Compugen may not be performing as strong as the other in terms of long-term growth potentials. The bottom line, as of the 30th of July 2020, our research shows that Compugen is a rather somewhat reliable investment opportunity with a
average probability of bankruptcy in the next two years. From a slightly different view, the entity currently appears to be
undervalued. However, our latest 30 days advice on the company is
Strong Sell.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Compugen. Please refer to our
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