NASDAQ:NBIX—A High-Growth Stock Gearing Up for Its Next Upward Move.

In this article we will dive into NEUROCRINE BIOSCIENCES INC (NASDAQ:NBIX) as a possible candidate for growth investing. Investors should always do their own research, but we noticed NEUROCRINE BIOSCIENCES INC showing up in our strong growth, ready to breakout screen, which makes it worth to investigate a bit more.

How do we evaluate the Growth for NASDAQ:NBIX?

ChartMill assigns a proprietary Growth Rating to each stock. The score is computed by evaluating various growth aspects, like EPS and revenue growth. We take into account the history as well as the estimated future numbers. NASDAQ:NBIX was assigned a score of 9 for growth:

• The Earnings Per Share has grown by an impressive 232.69% over the past year.
• The Earnings Per Share has been growing by 66.75% on average over the past years. This is a very strong growth
• NBIX shows a strong growth in Revenue. In the last year, the Revenue has grown by 29.01%.
• Measured over the past years, NBIX shows a very strong growth in Revenue. The Revenue has been growing by 55.91% on average per year.
• NBIX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 48.84% yearly.
• NBIX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.72% yearly.

Assessing Health Metrics for NASDAQ:NBIX

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NASDAQ:NBIX has received a 7 out of 10:

• An Altman-Z score of 9.98 indicates that NBIX is not in any danger for bankruptcy at the moment.
• With an excellent Altman-Z score value of 9.98, NBIX belongs to the best of the industry, outperforming 89.75% of the companies in the same industry.
• There is no outstanding debt for NBIX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
• A Current Ratio of 2.57 indicates that NBIX has no problem at all paying its short term obligations.
• NBIX has a Quick Ratio of 2.51. This indicates that NBIX is financially healthy and has no problem in meeting its short term obligations.

Analyzing Profitability Metrics

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NASDAQ:NBIX has earned a 8 out of 10:

• The Return On Assets of NBIX (6.75%) is better than 96.03% of its industry peers.
• NBIX has a better Return On Equity (9.52%) than 95.87% of its industry peers.
• Looking at the Return On Invested Capital, with a value of 11.65%, NBIX belongs to the top of the industry, outperforming 97.02% of the companies in the same industry.
• NBIX has a better Profit Margin (10.54%) than 95.70% of its industry peers.
• NBIX's Profit Margin has improved in the last couple of years.
• NBIX has a better Operating Margin (17.60%) than 96.86% of its industry peers.
• Looking at the Gross Margin, with a value of 97.98%, NBIX belongs to the top of the industry, outperforming 98.35% of the companies in the same industry.

Looking at the Setup

Alongside the Technical Rating, ChartMill assigns a Setup Rating to evaluate the consolidation level of a stock. This rating, ranging from 0 to 10, is updated daily and considers various short-term technical indicators. The current setup rating for NASDAQ:NBIX is 9:

NBIX has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 116.37. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 113.60, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

More Strong Growth stocks can be found in our Strong Growth screener.

Our latest full fundamental report of NBIX contains the most current fundamental analsysis.

For an up to date full technical analysis you can check the technical report of NBIX

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.