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Video: What is a Stock Split?
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NovoCure is an oncology company with a platform technology called Tumor Treating Fields. Co. is focusing on commercial adoption of Optune and NovoTTF-100L. Optune is approved by the U.S. Food and Drug Administration (FDA) for the treatment of adult patients with newly diagnosed glioblastoma (GBM) in combination with temozolomide, a chemotherapy drug, and for adult patients with GBM following confirmed recurrence after chemotherapy as monotherapy treatment. Co. also has approval to market Optune for the treatment of GBM in the European Union, Japan and certain other countries. NovoTTF-100L is approved by the FDA to treat malignant pleural mesothelioma in combination with chemotherapies. According to our NVCR split history records, NovoCure has had 1 split. | |
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NovoCure (NVCR) has 1 split in our NVCR split history database. The split for NVCR took place on November 22, 2002. This was a 1 for 5 reverse split, meaning for each 5 shares of NVCR owned pre-split, the shareholder now owned 1 share. For example, a 1000 share position pre-split, became a 200 share position following the split.
When a company such as NovoCure conducts a reverse share split, it is usually because shares have fallen to a lower per-share pricepoint than the company would like. This can be important because, for example, certain types of mutual funds might have a limit governing which stocks they may buy, based upon per-share price. The $5 and $10 pricepoints tend to be important in this regard. Stock exchanges also tend to look at per-share price, setting a lower limit for listing eligibility. So when a company does a reverse split, it is looking mathematically at the market capitalization before and after the reverse split takes place, and concluding that if the market capitilization remains stable, the reduced share count should result in a higher price per share.
Looking at the NVCR split history from start to finish, an original position size of 1000 shares would have turned into 200 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into NovoCure shares, starting with a $10,000 purchase of NVCR, presented on a split-history-adjusted basis factoring in the complete NVCR split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
10/02/2015 |
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End date: |
04/23/2024 |
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Start price/share: |
$18.28 |
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End price/share: |
$12.05 |
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Dividends collected/share: |
$0.00 |
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Total return: |
-34.05% |
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Average Annual Total Return: |
-4.74% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$6,597.54 |
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Years: |
8.56 |
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Date |
Ratio |
11/22/2002 | 1 for 5 |
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