Critical Analysis: Nuvation Bio (NUVB) versus The Competition

Nuvation Bio (NYSE:NUVB) is one of 844 public companies in the “Biotechnology” industry, but how does it compare to its peers? We will compare Nuvation Bio to related companies based on the strength of its valuation, profitability, earnings, risk, institutional ownership, analyst recommendations and dividends.

Analyst Ratings

This is a breakdown of current recommendations for Nuvation Bio and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nuvation Bio	1	2	9	0	2.67
Nuvation Bio Competitors	9828	15119	45430	1586	2.54

Nuvation Bio presently has a consensus price target of $12.89, suggesting a potential upside of 209.83%. As a group, “Biotechnology” companies have a potential upside of 102.59%. Given Nuvation Bio’s stronger consensus rating and higher possible upside, research analysts plainly believe Nuvation Bio is more favorable than its peers.

Risk and Volatility

Nuvation Bio has a beta of 1.73, indicating that its stock price is 73% more volatile than the S&P 500. Comparatively, Nuvation Bio’s peers have a beta of 1.12, indicating that their average stock price is 12% more volatile than the S&P 500.

Profitability

This table compares Nuvation Bio and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nuvation Bio	-88.18%	-46.59%	-22.01%
Nuvation Bio Competitors	-9,046.59%	-199.78%	-30.61%

Valuation & Earnings

This table compares Nuvation Bio and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Nuvation Bio	$62.90 million	-$204.63 million	-10.40
Nuvation Bio Competitors	$691.14 million	$10.43 million	-15.00

Nuvation Bio’s peers have higher revenue and earnings than Nuvation Bio. Nuvation Bio is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

61.7% of Nuvation Bio shares are owned by institutional investors. Comparatively, 47.9% of shares of all “Biotechnology” companies are owned by institutional investors. 30.1% of Nuvation Bio shares are owned by insiders. Comparatively, 13.1% of shares of all “Biotechnology” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Nuvation Bio beats its peers on 10 of the 13 factors compared.

About Nuvation Bio

Nuvation Bio Inc., a clinical-stage biopharmaceutical company, focuses on the development of therapeutic candidates for oncology. The company's lead product candidate is NUV-868, a BD2 selective oral small molecule BET inhibitor that epigenetically regulates proteins that control tumor growth and differentiation, including oncogenes comprising c-myc; NUV-1156, an AR binder Xtandi that address advanced stage prostate cancers with the potential to move into earlier lines typically treated with surgical prostatectomy; and drug-drug conjugate (DDC) platform which leverages a novel therapeutic approach within the drug-conjugate class of anti-cancer therapies to deliver anti-cancer therapeutics to cancer cells, as well as NUV-1176, a PARP inhibitor to address ER+ breast and ovarian cancer. The company was founded in 2018 and is headquartered in New York, New York.