Shares of TransEnterix, Inc. (NYSE:TRXC) recorded -3.70% loss during trading session on August 13th, 2019. The script traded as low as $1.02 and last traded at $1.04. 3.22 million shares changed exchanged hands during trading, a drop of -30.94% from the 30-day average session volume of 2.46M shares. The firm had previously closed at $1.08. The company has $186.29M outstanding shares, price-to-earnings-growth ratio of 10.31 and a beta of 2.47. The company has a RSI of 37.39, ATR of 0.13 and a volatility of 14.38% this week. TRXC has a 52 week low price of $0.70 and a 52 week high price of $6.98.
Investors have identified the tech company TransEnterix, Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 193.74M, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
TransEnterix, Inc. (TRXC) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For TRXC, the company has in raw cash 23.3 million on their books with 8.18 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 69.31 million total, with 0 as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
TRXC were able to record 39.73 million as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 2.36 million. In cash movements, the company had a total of 39.54 million as operating cash flow.
Potential earnings growth for TransEnterix, Inc. (TRXC)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, TransEnterix, Inc. recorded a total of 3.64 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -0.76% coming in sequential stages and their sales for the third quarter increasing by 0.40%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 3.94 million trying to sell their products during the last quarter, with the result yielding a gross income of 297000. This allows shareholders to hold on to 186.29M with the revenue now reading -90 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (-0.08 cents a share).
Is the stock of TRXC attractive?
Having a look at the company’s valuation, the company is expected to record -0.30 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on TRXC sounds very interesting.
In related news, EVP and CFO SLATTERY JOSEPH P sold 71,221 shares of the company’s stock in a transaction that recorded on February 22nd, 2019. The sale was performed at an average price of 3.25, for a total value of 231,468. As the sale deal closes, the EVP and CFO SLATTERY JOSEPH P now sold 17,650 shares of the company’s stock, valued at 57,363. Also, EVP and CFO SLATTERY JOSEPH P sold 8,500 shares of the company’s stock in a deal that was recorded on October 2nd, 2019. The shares were sold at an average price of 5.77 per share, with a total market value of 0. Following this completion of acquisition, the EVP and CFO now holds 56,151 shares of the company’s stock, valued at 321,745. In the last 6 months, insiders have changed their ownership in shares of company stock by 2.60%.
3 out of 6 analysts covering the stock have rated it a Buy, while 3 have maintained a Hold recommendation on TransEnterix, Inc. stock. 0 analysts has assigned a Sell rating on the TRXC stock. The 12-month mean consensus price target for the company’s shares has been set at $1.38.