Supernus Story

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SUPN -- USA Stock  

USD 20.31  0.11  0.54%

Supernus Pharmaceuticals Free Cash Flow is quite stable at the moment as compared to the past year. The company's current value of Free Cash Flow is estimated at 31.48 Million. Market Capitalization is expected to rise to about 638.5 M this year, although the value of Average Assets will most likely fall to about 119.6 M. As many baby boomers are still indifferent towards healthcare space, it makes sense to outline Supernus Pharmaceuticals. We will analyze why Supernus Pharmaceuticals investors may still consider a stake in the business. In this post, I will also go over some essential variables affecting Supernus Pharmaceuticals' products, and show how it may impact Supernus Pharmaceuticals outlook for active traders this year.
Published over a month ago
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Is Supernus Pharmaceuticals overvalued?
The entity has a beta of -0.0491, which indicates not very significant fluctuations relative to the market. Let's try to break down what Supernus's beta means in this case. As returns on the market increase, returns on owning Supernus Pharmaceuticals are expected to decrease at a much lower rate. During the bear market, Supernus Pharmaceuticals is likely to outperform the market. Although it is extremely important to respect Supernus Pharmaceuticals current price movements, it is better to be realistic regarding the information on equity historical returns. The philosophy towards measuring future performance of any stock is to evaluate the business as a whole together with its past performance, including all available fundamental and technical indicators. By inspecting Supernus Pharmaceuticals technical indicators, you can presently evaluate if the expected return of 0.0099% will be sustainable into the future. Supernus Pharmaceuticals right now has a risk of 2.27%. Please validate Supernus Pharmaceuticals potential upside, as well as the relationship between the accumulation distribution and price action indicator to decide if Supernus Pharmaceuticals will be following its existing price patterns.

How important is Supernus Pharmaceuticals's Liquidity

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

How Supernus utilizes its cash?

To perform a cash flow analysis of Supernus Pharmaceuticals, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Supernus Pharmaceuticals is receiving and how much cash it distributes out in a given period. The Supernus Pharmaceuticals cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Supernus Pharmaceuticals Net Cash Flow from Operations is quite stable at the moment as compared to the past year. The company's current value of Net Cash Flow from Operations is estimated at 154.43 Million

Bona fide gift to Gregory Patrick of 1120 shares of Supernus Pharmaceuticals subject to Section 16

Legal trades by Supernus Pharmaceuticals 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:
Supernus insider trading alert for gift of common stock by Gregory Patrick, Sr.VP Chief Financial Officer, on 28th of August 2020. This event was filed by Supernus Pharmaceuticals with SEC on 2020-08-28. 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.

A Deeper Perspective

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Supernus Pharmaceuticals has an asset utilization ratio of 213.26 percent. This suggests that the company is making $2.13 for each dollar of assets. An increasing asset utilization means that Supernus Pharmaceuticals is more efficient with each dollar of assets it utilizes for everyday operations.

Supernus Pharmaceuticals has a good chance to finish above $24 in 2 months

Latest downside variance is at 4.83. Supernus Pharmaceuticals currently demonstrates below-verage downside deviation. It has Information Ratio of -0.05 and Jensen Alpha of 0.09. However, we do advice investors to further question Supernus Pharmaceuticals expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

Whereas some other entities in the drug manufacturers?specialty & generic industry are either recovering or due for a correction, Supernus Pharmaceuticals may not be performing as strong as the other in terms of long-term growth potentials. With a relatively neutral outlook on the latest economy, it is better to hold off any trading of Supernus as the current risk-reward utility is not appealing enough. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Supernus Pharmaceuticals.

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 Supernus Pharmaceuticals. Please refer to our Terms of Use for any information regarding our disclosure principles.

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