Critical Review: Nuvation Bio (NUVB) versus Its Competitors

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

Earnings & Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Nuvation Bio	$201.73 million	-$204.63 million	-10.76
Nuvation Bio Competitors	$739.05 million	$12.03 million	-18.12

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.

Risk & Volatility

Nuvation Bio has a beta of 1.73, meaning that its stock price is 73% more volatile than the S&P 500. Comparatively, Nuvation Bio’s peers have a beta of -1.84, meaning that their average stock price is 284% less 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	-67.38%	-45.69%	-18.54%
Nuvation Bio Competitors	-12,323.33%	-195.38%	-30.39%

Institutional & Insider Ownership

61.7% of Nuvation Bio shares are owned by institutional investors. Comparatively, 47.8% of shares of all “Biotechnology” companies are owned by institutional investors. 30.1% of Nuvation Bio shares are owned by company insiders. Comparatively, 13.1% of shares of all “Biotechnology” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and price targets 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	9869	15279	45589	1598	2.54

Nuvation Bio currently has a consensus price target of $12.89, suggesting a potential upside of 199.39%. As a group, “Biotechnology” companies have a potential upside of 120.36%. Given Nuvation Bio’s stronger consensus rating and higher possible upside, analysts clearly believe Nuvation Bio is more favorable than its peers.

Summary

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

Nuvation Bio Company Profile

Nuvation Bio is a biopharmaceutical company focused on developing and commercializing treatments for cancer. Founded in 2018 by physician and biotechnology executive David Hung, the company is headquartered in New York and is led by Hung as founder and chief executive officer. Its commercial product, Ibtrozi (taletrectinib), is an oral targeted therapy approved in the United States for adults with ROS1-positive non-small cell lung cancer. Nuvation Bio also develops investigational oncology medicines, including therapies targeting specific genetic changes and other features of cancer.