Chimerix Story

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CMRX -- USA Stock  

USD 9.34  0.21  2.30%

Chimerix Accrued Expenses Turnover is fairly stable at the moment as compared to the past year. Chimerix reported Accrued Expenses Turnover of 1.91 in 2020. Cash and Equivalents Turnover is likely to rise to 0.39 in 2021, whereas Net Income Per Employee is likely to drop (3.1 M) in 2021. In this article, we will break down Chimerix as a potential position in addition to your existing holdings. We will inspect why it could be a game-changer for Chimerix investors.
Published over a week ago
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Are Chimerix (NASDAQ:CMRX) investors starting to hold back?
Chimerix holds a performance score of 14 on a scale of zero to a hundred. The firm shows a Beta (market volatility) of 0.3393, which signifies possible diversification benefits within a given portfolio. Let's try to break down what Chimerix's beta means in this case. As returns on the market increase, Chimerix returns are expected to increase less than the market. However, during the bear market, the loss on holding Chimerix will be expected to be smaller as well. Although it is essential to pay attention to Chimerix historical returns, it is also good to be reasonable about what you can do with equity current trending patterns. Our philosophy towards foreseeing future potential of any stock is to look not only at its past charts but also at the business as a whole, including all available fundamental and technical indicators. To evaluate if Chimerix expected return of 2.07 will be sustainable into the future, we have found twenty-one different technical indicators, which can help you to check if the expected returns are sustainable. Use Chimerix semi deviation, jensen alpha, as well as the relationship between the Jensen Alpha and semi variance to analyze future returns on Chimerix.
There are currently many different techniques concerning forecasting the market as a whole as well as predicting future values of individual securities such as Chimerix. Regardless of method or technology, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.

Predictive Modules for Chimerix

Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Chimerix's stock price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Chimerix in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Chimerix. Your research has to be compared to or analyzed against Chimerix's peers to derive any actionable benefits. When done correctly, Chimerix's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in Chimerix.

How important is Chimerix's Liquidity

Chimerix financial leverage refers to using borrowed capital as a funding source to finance Chimerix ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Chimerix 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. Please check the breakdown between Chimerix's total debt and its cash.

How Chimerix utilizes its cash?

To perform a cash flow analysis of Chimerix, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Chimerix is receiving and how much cash it distributes out in a given period. The Chimerix cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Chimerix Net Cash Flow from Operations is fairly stable at the moment as compared to the past year. Chimerix reported Net Cash Flow from Operations of (67.66 Million) in 2020

Acquisition by David Jakeman of 1500 shares of Chimerix subject to Rule 16b-3

Legal trades by Chimerix insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Chimerix insider trading alert for grant of stock option (right to buy) by David Jakeman, Principal Accounting Officer, on 23rd of December 2020. This event was filed by Chimerix Inc with SEC on 2020-12-23. Statement of changes in beneficial ownership - SEC Form 4. David Jakeman currently serves as principal accounting officer, executive director of finance and accounting of Chimerix [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

What is driving Chimerix Investor Appetite?

The current price rise of Chimerix could raise concerns from investors as the firm it trading at a share price of 8.42 on very low momentum in volume. The company executives may have good odds in positioning the firm resources to exploit market volatility in February. The stock standard deviation of daily returns for 30 days investing horizon is currently 10.15. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Chimerix partners.

Returns Breakdown

Return on Investment(95.21)
Return on Assets(0.71)
Return on Equity(0.78)
Return Capital(1.21)
Return on Sales(8.73)

Our perspective of the current Chimerix rise

Chimerix current downside deviation rises over 2.91. Chimerix is displaying above-average volatility over the selected time horizon. Investors should scrutinize Chimerix independently to ensure intended market timing strategies are aligned with expectations about Chimerix volatility.

While some firms under the biotechnology industry are still a bit expensive, Chimerix may offer a potential longer-term growth to investors. To sum up, as of the 9th of January 2021, we see that Chimerix slowly supersedes the market. The company is overvalued with very low probability of distress within the next 24 months. However, our primary 30 days buy-hold-sell recommendation on the company is Strong Buy.

About Contributor

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 Raphi Shpitalnik do not own shares of Chimerix. Please refer to our Terms of Use for any information regarding our disclosure principles.

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