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NVCRNovoCure Limited
$17.32$2.0B
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  4. Financial Ratios

NovoCure Limited (NVCR) Financial Ratios

Latest Ratios: P/E Ratio -14.2x · EV/EBITDA N/A · ROE -38.9%. (2013–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

NVCR Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$2.0B$1.4B$3.2B$1.6B$7.7B$7.8B$18.8B$8.2B$3.1B$1.8B$672M
Enterprise Value$2.2B$1.6B$3.7B$1.9B$8.1B$8.1B$19.0B$8.2B$3.1B$1.8B$668M
P/E Ratio →-14.20—————961.33————
P/S Ratio3.012.205.313.1214.2714.5138.1123.3212.3910.108.10
P/B Ratio5.674.238.924.3817.4018.9239.5437.6227.3915.754.72
P/FCF————814.09132.55223.81507.85———
P/OCF————249.3593.84190.02307.82———

P/E links to full P/E history page with 30-year chart

NVCR EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—2.486.173.8215.1515.2138.5223.2912.4310.218.06
EV / EBITDA——————481.521094.13———
EV / EBIT——————533.701620.39———
EV / FCF————863.82138.91226.24507.16———

NVCR Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin74.5%74.5%77.3%74.8%78.6%78.5%78.5%74.8%67.7%68.6%44.2%
Operating Margin-23.5%-23.5%-28.2%-45.7%-16.6%-8.3%6.1%-0.3%-13.6%-22.2%-139.1%
Net Profit Margin-20.8%-20.8%-27.9%-40.6%-17.2%-10.9%4.0%-2.1%-25.6%-34.8%-159.1%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE-38.9%-38.9%-46.7%-51.5%-21.7%-13.2%5.7%-4.4%-56.3%-48.2%-67.1%
ROA-13.3%-13.3%-14.1%-17.7%-7.9%-5.3%2.6%-1.8%-21.0%-22.5%-44.7%
ROIC-16.4%-16.4%-16.0%-21.5%-7.9%-4.5%5.1%-0.4%-19.9%-21.8%-59.0%
ROCE-28.9%-28.9%-23.5%-23.3%-8.8%-4.6%4.6%-0.3%-13.7%-17.1%-44.0%

NVCR Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.850.851.901.641.321.420.950.771.330.860.68
Debt / EBITDA——————11.3922.49———
Net Debt / Equity—0.551.440.981.060.910.43-0.050.080.17-0.02
Net Debt / EBITDA——————5.17-1.50———
Debt / FCF————49.736.352.43-0.70———
Interest Coverage——-10.36-38.41-9.68-5.501.980.34-1.92-3.15-16.55

NVCR Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio2.902.901.465.787.007.538.805.104.984.887.10
Quick Ratio2.902.901.425.566.827.368.564.824.634.446.41
Cash Ratio2.052.051.275.086.116.587.523.803.813.655.96
Asset Turnover—0.810.490.440.450.470.470.730.730.670.29
Inventory Turnover——3.913.363.914.703.883.743.552.521.81
Days Sales Outstanding—64.2461.5655.2658.5466.4574.1866.4553.7460.9627.91

NVCR Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield——————0.1%————
FCF Yield————0.1%0.8%0.4%0.2%———
Buyback Yield0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Total Shareholder Yield0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Shares Outstanding—$111M$108M$106M$105M$103M$109M$97M$92M$89M$86M

Key Metrics

Growth RegimeDecelerating
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowBurning
Top Statement Risk

Clinical Trial Funding Dependency

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Market Skepticism Pressures Valuation Multiples

According to recent market data, NovoCure trades at a price-to-sales ratio of 2.68, reflecting a significant compression from historical levels as investors increasingly discount the company's long-dated clinical pipeline in favor of more immediate, cash-generative opportunities within the broader medical technology sector.

The current P/S multiple suggests that the market is pricing in a high degree of uncertainty regarding the commercial success of new indications. Investors should monitor whether this valuation floor holds as the company navigates the transition from a single-indication GBM player to a broader oncology platform.

Capital Efficiency Constrained by Losses

Based on reported figures, NovoCure's ROIC has remained consistently negative, reaching -10.2% in 2026Q1, which indicates that the company is currently destroying shareholder value as it continues to fund high-cost clinical trials that have yet to yield a sustainable return on invested capital.

The persistent negative ROIC highlights the difficulty of scaling a specialized, recurring-revenue model when R&D expenditures are not yet offset by commercial success. This trend warrants further investigation into whether the company can achieve positive returns without a fundamental shift in its clinical development strategy.

Working Capital Volatility Impacts Liquidity

As reported in financial statements, the company's cash conversion cycle has shown extreme volatility, swinging from -134 days in 2026Q1 to -60 days in 2025Q2, which suggests that management is struggling to maintain consistent control over accounts receivable and inventory turnover across diverse international markets.

The erratic nature of the CCC indicates potential friction in the reimbursement process and inventory management, which are critical for a razor-and-blade model. Investors should monitor these metrics closely to determine if the fluctuations are structural or merely a byproduct of rapid international expansion.

Debt Burden Limits Financial Flexibility

Based on the provided balance sheet data, NovoCure's debt-to-equity ratio has fluctuated significantly, reaching 0.71 in 2026Q1, which indicates that the company's reliance on debt to fund its ongoing operations is becoming increasingly precarious given the lack of positive operating cash flow.

The lack of meaningful interest coverage, as evidenced by the negative figures, suggests that the company's ability to service its debt is entirely dependent on its remaining cash reserves. This leverage profile may limit the company's strategic options if clinical trial milestones are delayed further.

Misapplication of Standard Revenue Multiples

The price-to-sales ratio is frequently misapplied to NovoCure, as it obscures the high cost of customer acquisition and the significant revenue recognition adjustments inherent in the company's complex, reimbursement-dependent business model, which often inflates the perceived value of the top-line revenue.

Instead of relying on P/S, analysts should focus on the 'Active Patient' count and 'Duration of Therapy' as more accurate indicators of underlying business health. These metrics provide a clearer view of the company's commercial momentum than headline revenue, which can be distorted by accounting nuances.

Download Financial Ratios Data

Includes 30+ ratios · 13 years · Updated daily

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NVCR — Frequently Asked Questions

Quick answers to the most common questions about buying NVCR stock.

What is NovoCure Limited's P/E ratio?

NovoCure Limited's current P/E ratio is -14.2x. This places it at the 50th percentile of its historical range.

What is NovoCure Limited's ROE?

NovoCure Limited's return on equity (ROE) is -38.9%. The historical average is -39.3%.

Is NVCR stock overvalued?

Based on historical data, NovoCure Limited is trading at a P/E of -14.2x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are NovoCure Limited's profit margins?

NovoCure Limited has 74.5% gross margin and -23.5% operating margin.