Nova Measuring Story

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NVMI -- USA Stock  

USD 62.05  1.64  2.58%

Nova Measuring Invested Capital is most likely to increase significantly in the upcoming years. The last year's value of Invested Capital was reported at 172.85 Million. The current Invested Capital Average is estimated to increase to about 136 M, while Average Assets are projected to decrease to roughly 298.2 M. Nova Measuring Instr is scheduled to announce its earnings today. The next earnings report is expected on the 11th of February 2021. Many investors are getting excited about technology space, let's analyze if Nova Measuring Instruments fundamentals are strong enough to attract traders. We will evaluate why recent Nova Measuring price moves suggest a bounce in December. We currently estimate Nova Measuring as overvalued. The real value is approaching 53.97 per share.
Published over a week ago
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Will Nova Measuring (NASDAQ:NVMI) basic indicators remain fragile in December?
Macroaxis provides unbiased advice on Nova Measuring Instr that should be used to complement current analysts and expert consensus on Nova Measuring. Our investment recommendation engine determines the firm's potential to grow exclusively from the perspective of an investors' current risk tolerance and investing horizon.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Nova Measuring income statement, its balance sheet, and the statement of cash flows. Potential Nova Measuring investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Nova Measuring investors may use each financial statement separately, they are all related. The changes in Nova Measuring's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Nova Measuring's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages. The goal of Nova Measuring fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Nova Measuring performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Nova Measuring shares is the value that is considered the true value of the share. If the intrinsic value Nova Measuring is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Nova Measuring. Please read more on our fundamental analysis page.

Are Nova Measuring Earnings Expected to grow?

The future earnings power of Nova Measuring involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Nova Measuring factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Nova Measuring stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Nova Measuring expected earnings.

How Nova Measuring utilizes its cash?

To perform a cash flow analysis of Nova Measuring, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Nova Measuring is receiving and how much cash it distributes out in a given period. The Nova Measuring cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Nova Measuring Net Cash Flow from Operations is most likely to increase significantly in the upcoming years. The last year's value of Net Cash Flow from Operations was reported at 41.2 Million

Nova Measuring Gross Profit

Nova Measuring Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Nova Measuring previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Nova Measuring Gross Profit growth over the last 10 years. Please check Gross Profit in more details.

Breaking down Nova Measuring Indicators

There are few distinct groups of Nova Measuring stakehholders that the SEC considers insiders. Investors usually gain information through their work as corporate directors, officers, or employees. If these individuals share the information with a friend, family, or business partner and the person who receives the information exchanges stock in the company, he or shie is also an insider. Let's take a look at how the ownership of Nova Measuring is distributed among investors.

Ownership Allocation

Nova Measuring Instr maintains a total of twenty-eight million ninety thousand outstanding shares. The majority of Nova Measuring outstanding shares are owned by institutional investors. These third-party entities are usually referred to as non-private investors looking to shop for positions in Nova Measuring Instruments to benefit from reduced commissions. Consequently, institutional holders are subject to a different set of regulations than regular investors in Nova Measuring Instr. Please pay attention to any change in the institutional holdings of Nova Measuring as this could imply that something significant has changed or about to change at the company. Please note that no matter how much assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.

Retail Investors
13.19%
Institutions
85.9%
Retail Investors13.19
Insiders0.91
Institutions85.9
 2017 2018 2019 2020 (projected)
Cost of Revenue90.81 M105.9 M103.09 M92.16 M
Consolidated Income46.46 M54.38 M35.17 M31.95 M

Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Nova Measuring has an asset utilization ratio of 116.15 percent. This implies that the company is making $1.16 for each dollar of assets. An increasing asset utilization means that Nova Measuring Instruments is more efficient with each dollar of assets it utilizes for everyday operations.

Current Assets
254.5 M
Assets Non Current
105.2 M
Current Assets254.54 Million64.86
Assets Non Current105.21 Million26.81
Goodwill28.41 Million7.24
Tax Assets4.26 Million1.09

Are Nova Measuring technical ratios showing a bounce back?

Current semi variance is at 5.07. Nova Measuring Instruments currently demonstrates below-verage downside deviation. It has Information Ratio of 0.05 and Jensen Alpha of 0.19. However, we do advice investors to further question Nova Measuring Instruments expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

Our Bottom Line On Nova Measuring Instr

While some other entities within the semiconductor equipment & materials industry are still a little expensive, even after the recent corrections, Nova Measuring may offer a potential longer-term growth to stockholders. To sum up, as of the 12th of November 2020, we believe that at this point, Nova Measuring is overvalued with very low probability of distress within the next 2 years. Our latest buy-hold-sell recommendation on the company is Cautious Hold.

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 Ellen Johnson do not own shares of Nova Measuring Instruments. Please refer to our Terms of Use for any information regarding our disclosure principles.

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