Novocure Ltd (NASDAQ:NVCR) soared to a new 52-week high on Thursday as investors positioned their portfolios amid a higher growth outlook for full-year 2026, and ahead of the expected premarket approval for its brain therapy candidate.
In intra-day trading, the stock climbed to a record high of $20.55 before trimming gains to end the session just up by 28.39 percent at $19.99 apiece.
For illustration purposes only. Photo by Pavel Danilyuk on Pexels
Higher FY26 Revenues
In an updated report, Novocure Ltd (NASDAQ:NVCR) raised its full-year revenue growth guidance to a range of $710 million to $725 million, versus $690 million to $710 million in the same period last year.
The guidance included collective net revenue contribution from Optune Lua and Optune Pax between $20 million and $30 million.
It also expects to turn into a positive adjusted EBITDA of up to $15 million, reversing an adjusted EBITDA loss outlook of $15 million previously.
Revenues Up 16%
The higher outlook was encouraged by its strong results in the second quarter of the year.
During the period, Novocure Ltd (NASDAQ:NVCR) said that it raked in $183.6 million in revenues, up by 16 percent from the $158.8 million in the same period last year on the back of increasing active patients across its global operations.
The US remained its largest market, contributing $103 million in revenues, followed by Germany with $23.3 million, France with $21.3 million, and Japan with $11.8 million. The other markets were owed to $18.2 million in revenues.
Novocure Ltd (NASDAQ:NVCR) also narrowed its net loss by 61 percent to $15.6 million from $40 million year-on-year, albeit losses in the first half of the year remained up by 17 percent at $86.8 million versus $74.4 million year-on-year.
“This was our strongest quarter to date, with record net revenues and active patients on therapy,” CEO Frank Leonard said.
Premarket Approval in Q4
The company is highly anticipating to secure the premarket approval of the Food and Drug Administration for the use of TTFields therapy in patients with brain metastases from non-small cell lung cancer.
TTFields are electric fields that exert physical forces to kill cancer cells via multiple, distinct mechanisms.
It can be added to cancer treatment modalities in approved indications and has so far demonstrated enhanced effects across solid tumor types when used with chemotherapy, radiotherapy, immune checkpoint inhibition, or targeted therapies in preclinical models.
Institutional Participation Drops
Hedge fund participation in the company markedly declined in the first quarter of the year.
During the period, data from Insider Monkey said that only 24 hedge funds held positions in the company, down from 31 previously.
Their combined stake also declined by 13 percent to $220 million from $253 million quarter-on-quarter, signaling that institutional investors remained cautious as they await further developments about its pipelines.
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