Exploring the Growth Potential of NASDAQ:NBIX as It Nears a Breakout.

In this article, we'll take a closer look at NEUROCRINE BIOSCIENCES INC (NASDAQ:NBIX) as a potential candidate for growth investing. While it's important for investors to conduct their own research, NEUROCRINE BIOSCIENCES INC has piqued our interest by appearing on our strong growth and breakout radar. Let's explore further.

How We Gauge Growth for NASDAQ:NBIX

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NASDAQ:NBIX has received a 9 out of 10:

• The Earnings Per Share has grown by an impressive 505.00% over the past year.
• NBIX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 70.09% yearly.
• NBIX shows a strong growth in Revenue. In the last year, the Revenue has grown by 23.99%.
• The Revenue has been growing by 33.13% on average over the past years. This is a very strong growth!
• Based on estimates for the next years, NBIX will show a very strong growth in Earnings Per Share. The EPS will grow by 42.64% on average per year.
• NBIX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.04% yearly.

Unpacking NASDAQ:NBIX's Health Rating

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NASDAQ:NBIX scores a 7 out of 10:

• NBIX has an Altman-Z score of 9.15. This indicates that NBIX is financially healthy and has little risk of bankruptcy at the moment.
• Looking at the Altman-Z score, with a value of 9.15, NBIX belongs to the top of the industry, outperforming 85.42% of the companies in the same industry.
• NBIX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
• NBIX has a Current Ratio of 2.52. This indicates that NBIX is financially healthy and has no problem in meeting its short term obligations.
• A Quick Ratio of 2.47 indicates that NBIX has no problem at all paying its short term obligations.

Profitability Examination for NASDAQ:NBIX

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NASDAQ:NBIX scores a 9 out of 10:

• The Return On Assets of NBIX (10.65%) is better than 97.26% of its industry peers.
• With an excellent Return On Equity value of 15.49%, NBIX belongs to the best of the industry, outperforming 96.74% of the companies in the same industry.
• NBIX has a Return On Invested Capital of 12.56%. This is amongst the best in the industry. NBIX outperforms 97.08% of its industry peers.
• The last Return On Invested Capital (12.56%) for NBIX is above the 3 year average (9.89%), which is a sign of increasing profitability.
• NBIX has a better Profit Margin (18.65%) than 97.60% of its industry peers.
• NBIX's Profit Margin has improved in the last couple of years.
• Looking at the Operating Margin, with a value of 23.73%, NBIX belongs to the top of the industry, outperforming 97.60% of the companies in the same industry.
• NBIX's Operating Margin has improved in the last couple of years.
• The Gross Margin of NBIX (98.05%) is better than 97.94% of its industry peers.

Why is NASDAQ:NBIX a setup?

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the extent of consolidation in the stock based on multiple short-term technical indicators. Currently, NASDAQ:NBIX has a 7 as its setup rating:

Besides having an excellent technical rating, NBIX also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 142.15. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 139.97, a Stop Loss order could be placed below this zone.

Our Strong Growth screener lists more Strong Growth stocks and is updated daily.

Check the latest full fundamental report of NBIX for a complete fundamental analysis.

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

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.