Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA) and Herc Holdings Inc. (NYSE:HRI)’s Value Composition Scores Under Review

In order to determine if a company is fairly valued, we can look at a number of different ratios and metrics. First off we’ll take a look at the Price to Cash Flow ratio of Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA). The firm currently has a P/CF ratio of -12.189759.

This is the current Price divided by Cash Flow Per Share for the trailing twelve months. Cash Flow is defined as Income After Taxes minus Preferred Dividends and General Partner Distributions plus Depreciation, Depletion and Amortization.

Investors seeking value in the stock market may be eyeing the Magic Formula Rank or MF Rank for Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA). Presently, the company has a MF Rank of 17588. The Magic Formula was devised and made popular by Joel Greenblatt in his book “The Little Book That Beats the Market”. Greenblatt’s formula helps find stocks that are priced attractively with a high earnings yield, or strong reported profits in comparison to the market value of the company. To spot opportunities in the market, investors may be searching for stocks that have the lowest combined MF Rank.

Currently, Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA)’s ROIC is-6.462988. The ROIC 5 year average is -5.695220 and the ROIC Quality ratio is -2.041985. ROIC is a profitability ratio that measures the return that an investment generates for those providing capital. ROIC helps show how efficient a company is at turning capital into profits. ROIC may be a good measure to view when examining whether or not a company is able to invest wisely. ROIC may also be an important metric for the value investor who is trying to determine the company’s moat. Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA) has a current Value Composite Score of 85. Using a scale from 0 to 100, a lower score would represent an undervalued company and a higher score would indicate an expensive or overvalued company. This ranking was developed by James O’Shaughnessy using six different valuation ratios including price to book value, price to sales, EBITDA to EV, price to cash flow, price to earnings, and shareholder yield.

Market watchers may also be following some quality ratios for Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA). Currently, the company has a Gross Margin (Marx) ratio of 0.00. This calculation is based on the research by University of Rochester professor Robert Novy-Marx. Marx believed that a high gross income ratio was a sign of a quality company. Looking further, Iovance Biotherapeutics, Inc. has a Gross Margin score of 50.00000. This score is based on the Gross Margin (Marx) metric using a scale from 1 to 100 where a 1 would be seen as positive, and a 100 would be viewed as negative.

The Price Index is a ratio that indicates the return of a share price over a past period. The price index of Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA) for last month was 0.96805. This is calculated by taking the current share price and dividing by the share price one month ago. If the ratio is greater than 1, then that means there has been an increase in price over the month. If the ratio is less than 1, then we can determine that there has been a decrease in price. Similarly, investors look up the share price over 12 month periods. The Price Index 12m for Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA) is 0.61728.

The C-Score is a system developed by James Montier that helps determine whether a company is involved in falsifying their financial statements. The C-Score is calculated by a variety of items, including a growing difference in net income verse cash flow, increasing days outstanding, growing days sales of inventory, increasing assets to sales, declines in depreciation, and high total asset growth. The C-Score of Iovance Biotherapeutics, Inc. (NasdaqGM:IOVA) is -1.00000. The score ranges on a scale of -1 to 6. If the score is -1, then there is not enough information to determine the C-Score. If the number is at zero (0) then there is no evidence of fraudulent book cooking, whereas a number of 6 indicates a high likelihood of fraudulent activity. The C-Score assists investors in assessing the likelihood of a company cheating in the books.

The Price to Cash Flow for Herc Holdings Inc. (NYSE:HRI) is 2.051427. The price to cash flow formula is a useful formula investors can use in order to determine the true valuation of a firm. Generally speaking, a higher P/CF ratio indicates that the company is less capital demanding and the lesser price to cash flow indicates that the company is more capital demanding.

Formula: Price to Cash Flow = Current Stock Price/ Cash Flow per Share

Investors seeking value in the stock market may be eyeing the Magic Formula Rank or MF Rank for Herc Holdings Inc. (NYSE:HRI). Presently, the company has a MF Rank of 7571. The Magic Formula was devised and made popular by Joel Greenblatt in his book “The Little Book That Beats the Market”. Greenblatt’s formula helps find stocks that are priced attractively with a high earnings yield, or strong reported profits in comparison to the market value of the company. To spot opportunities in the market, investors may be searching for stocks that have the lowest combined MF Rank.

Market watchers may also be following some quality ratios for Herc Holdings Inc. (NYSE:HRI). Currently, the company has a Gross Margin (Marx) ratio of 0.250900. This calculation is based on the research by University of Rochester professor Robert Novy-Marx. Marx believed that a high gross income ratio was a sign of a quality company. Looking further, Herc Holdings Inc. (NYSE:HRI) has a Gross Margin score of 50.00000. This score is based on the Gross Margin (Marx) metric using a scale from 1 to 100 where a 1 would be seen as positive, and a 100 would be viewed as negative.

The Price Index is a ratio that indicates the return of a share price over a past period. The price index of Herc Holdings Inc. (NYSE:HRI) for last month was 0.97930. This is calculated by taking the current share price and dividing by the share price one month ago. If the ratio is greater than 1, then that means there has been an increase in price over the month. If the ratio is less than 1, then we can determine that there has been a decrease in price. Similarly, investors look up the share price over 12 month periods. The Price Index 12m for Herc Holdings Inc. (NYSE:HRI) is 0.57798.

Price Range 52 Weeks

Some of the best financial predictions are formed by using a variety of financial tools. The Price Range 52 Weeks is one of the tools that investors use to determine the lowest and highest price at which a stock has traded in the previous 52 weeks. The Price Range of Herc Holdings Inc. (NYSE:HRI) over the past 52 weeks is 0.576000. The 52-week range can be found in the stock’s quote summary.

Volatility

Stock volatility is a percentage that indicates whether a stock is a desirable purchase. Investors look at the Volatility 12m to determine if a company has a low volatility percentage or not over the course of a year. The Volatility 12m of Herc Holdings Inc. (NYSE:HRI) is 50.536800. This is calculated by taking weekly log normal returns and standard deviation of the share price over one year annualized. The lower the number, a company is thought to have low volatility. The Volatility 3m is a similar percentage determined by the daily log normal returns and standard deviation of the share price over 3 months. The Volatility 3m of Herc Holdings Inc. (NYSE:HRI) is 51.009100. The Volatility 6m is the same, except measured over the course of six months. The Volatility 6m is 58.136900.

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