Ocugen Story

OCGN -- USA Stock

USD 6.81 0.15 2.16%

Macroaxis Story

Despite quite unsteady technical and fundamental indicators, Ocugen disclosed solid returns over the last few months and may actually be approaching a breakup point. Ocugen Inc odds of distress is under 38 percent. Will Ocugen institutional investors continue to buy in March?

Published over a month ago

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Does Ocugen (NASDAQ:OCGN) have persistent technical and fundamental indicators based on the latest rise?

Ocugen is abnormally volatile given 1 month investment horizon. Ocugen Inc maintains Sharpe Ratio (i.e. Efficiency) of 0.24, which implies the firm had 0.24% of return per unit of risk over the last month. Our standpoint towards forecasting the volatility of a stock is to use Ocugen Inc market data together with company specific technical indicators. We were able to analyze and collect data for twenty-seven different technical indicators, which can help you to evaluate if expected returns of 11.42% are justified by taking the suggested risk. Use Ocugen Semi Deviation of 7.61, coefficient of variation of 447.04, and Risk Adjusted Performance of 0.1704 to evaluate company specific risk that cannot be diversified away.

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 Ocugen income statement, its balance sheet, and the statement of cash flows. Potential Ocugen investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Ocugen investors may use each financial statement separately, they are all related. The changes in Ocugen's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Ocugen'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 Ocugen fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Ocugen performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Ocugen shares is the value that is considered the true value of the share. If the intrinsic value Ocugen 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 Ocugen.

Please read more on our fundamental analysis page.

Are Ocugen Earnings Expected to grow?

The future earnings power of Ocugen involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Ocugen factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Ocugen 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 Ocugen expected earnings.

How Ocugen utilizes its cash?

To perform a cash flow analysis of Ocugen, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Ocugen is receiving and how much cash it distributes out in a given period. The Ocugen cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Purchase by Musunuri Shankar of 143000 shares of Ocugen

Legal trades by Ocugen 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:

Ocugen insider trading alert for perchase of common stock by Musunuri Shankar, Chief Executive Officer, on 4th of April 2021. This event was filed by Ocugen Inc with SEC on 2019-12-13. Statement of changes in beneficial ownership - SEC Form 4 [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 Ocugen Investor Appetite?

The latest price rise of Ocugen Inc may encourage institutional investors to take a closer look at the company as it is trading at a share price of 10.95 on 95,345,200 in trading volume. The company executives may have good odds in positioning the company resources to exploit market volatility in March. The stock standard deviation of daily returns for 30 days investing horizon is currently 46.94. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Ocugen partners.

Our take on today Ocugen rise

Coefficient of variation is down to 447.04. It may entail a possible volatility slide. Ocugen Inc is showing large volatility of returns over the selected time horizon. We encourage all investors to investigate this asset further to make sure related market timing strategies are aligned with all the expectations about Ocugen implied risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Ocugen's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Ocugen's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Our Final Perspective on Ocugen

Whereas many of the other players under the biotechnology industry are still a bit expensive, Ocugen may offer a potential longer-term growth to institutional investors. To conclude, as of the 27th of February 2021, we believe that at this point, Ocugen is abnormally volatile with below average probability of distress within the next 2 years. From a slightly different point of view, the entity appears to be overvalued. Our latest 30 days buy-or-sell advice on the company is Cautious Hold.

About Contributor

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 Ocugen Inc. Please refer to our Terms of Use for any information regarding our disclosure principles.

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