This Unstoppable Cancer-Treatment Company's Stock Is on Sale Now
The stock market loves instant gratification. When forced to wait for a potentially good thing to pay off, some traders can begin to lose interest. Cancer treatment company Novocure (NASDAQ: NVCR), which uses low-power electrical fields to disrupt the growth of cancer cells, is now trading 50% below its highs.
The company has numerous clinical trials of its technology underway, but traders sold the stock lower after its most recent quarterly earnings report came and went without fresh approvals for new indications from the U.S. Food and Drug Administration (FDA). However, here are three reasons why Novocure is an opportunity for investors at recent prices.
Let's start by addressing the elephant in the room -- the company's need of new regulatory approvals for its tech to be used in treating additional types of cancers. Novocure invented and builds medical devices that emit low-powered electrical fields, called tumor-treating fields (TTF); the fields disrupt the division of cancer cells, stunting their growth. Traditional forms of cancer treatment such as chemotherapy kill both cancerous and healthy cells, often making the patient ill. However, tumor-treating fields don't have any known affect on healthy cells.
Source Fool.com
