NovoCure Limited

NVCR

HealthcareMedical - Instruments & SuppliesNASDAQ

$17.89

Market Cap: $2.07B

NovoCure Limited (NVCR) Valuation Summary

Updated May 10, 2026 00:11

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$0.38 – $32.40	$6.07	-66.1%
Revenue DCF 10Y	$0.92 – $36.80	$8.15	-54.4%
▸ Trading Multiples
EV/Revenue	$5.42 – $63.20	$26.21	+46.5%

Valuation History

DCF Analysis

NovoCure Limited (NVCR) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$8.15

Market Price

$17.89

Upside / Downside

-54.4%

Verdict

Overvalued

Using a Revenue DCF model with operating margin convergence from -23.5% to a target of 13.2% over 5 years, discounted at a WACC of 8.3%, NovoCure Limited (NVCR) has an intrinsic value of $8.15 per share (range: $0.92 – $36.80).

Key Assumptions

Current Operating Margin

-23.5%

Target Operating Margin

13.2%

WACC

8.3%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

5.0%

Target CapEx/Rev

6.0%

D&A/Revenue

1.2%

Tax Rate

21.0%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	704	7.4%	-16.1%	-114	-114	8	(36)	40	-181	-174
2027	777	10.4%	-8.8%	-68	-68	9	(40)	3	-103	-91
2028	934	20.1%	-1.5%	-14	-14	11	(49)	7	-59	-49
2029	1,468	57.2%	5.9%	86	68	17	(79)	25	-19	-14
2030	1,753	19.4%	13.2%	231	183	21	(96)	13	94	65
2031	1,837	4.8%	13.2%	242	191	22	(103)	4	106	68
2032	1,919	4.5%	13.2%	253	200	23	(109)	4	109	65
2033	1,998	4.1%	13.2%	264	208	24	(116)	4	112	62
2034	2,073	3.7%	13.2%	273	216	24	(122)	3	115	58
2035	2,142	3.4%	13.2%	283	223	25	(129)	3	117	55

Enterprise Value Bridge

Sum of PV(FCFF)45

Terminal Value (Gordon Growth at 3.0%)2,249

PV of Terminal Value1,050

Enterprise Value1,095

(–) Net Debt187

Equity Value909

(÷) Shares Outstanding111

Fair Value per Share$8.15

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.2%	10.2%	13.2%	16.2%	19.2%
6.3%	$-3	$7	$17	$27	$37
7.3%	$-3	$4	$12	$19	$26
8.3%	$-4	$2	$8	$14	$20
9.3%	$-4	$1	$6	$11	$16
10.3%	$-4	$0	$4	$8	$12

Current price: $17.89. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 4.6% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

NovoCure Limited (NVCR) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$6.07

Market Price

$17.89

Upside / Downside

-66.1%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-23.5%

Target Operating Margin

13.2%

WACC

8.3%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

5.0%

Target CapEx/Rev

6.0%

D&A/Revenue

1.2%

Tax Rate

21.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	704	7.4%	-16.1%	-114	-114	8	(37)	40	-181	-174
2027	777	10.4%	-8.8%	-68	-68	9	(42)	3	-105	-93
2028	934	20.1%	-1.5%	-14	-14	11	(52)	7	-62	-51
2029	1,468	57.2%	5.9%	86	68	17	(85)	25	-25	-19
2030	1,753	19.4%	13.2%	231	183	21	(105)	13	85	59

Enterprise Value Bridge

Sum of PV(FCFF)-277

Terminal Value (Gordon Growth at 3.0%)1,636

PV of Terminal Value1,141

Enterprise Value863

(–) Net Debt187

Equity Value677

(÷) Shares Outstanding111

Fair Value per Share$6.07

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.2%	10.2%	13.2%	16.2%	19.2%
6.3%	$-5	$4	$14	$23	$32
7.3%	$-5	$2	$9	$16	$23
8.3%	$-5	$0	$6	$12	$17
9.3%	$-5	$-1	$4	$9	$14
10.3%	$-5	$-1	$3	$7	$11

Current price: $17.89. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 4.6% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$26.21

Market Price

$17.89

Upside / Downside

+46.5%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), NovoCure Limited (NVCR) has a fair value of $26.21 based on 7 comparable companies in the Medical - Instruments & Supplies industry.

EV/Revenue Valuation — Medical - Instruments & Supplies

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
NovoCure LimitedNVCR	1,994	3.3x	3.1x
Establishment Labs Holdings Inc.ESTA	2,109	10.9x	8.6x
Neogen CorporationNEOG	1,970	3.1x	3.2x
STAAR Surgical CompanySTAA	1,351	5.2x	4.0x
Teladoc Health, Inc.TDOC	1,256	0.6x	0.6x
Kestra Medical Technologies, Ltd.KMTS	1,229	17.3x	17.8x
BioLife Solutions, Inc.BLFS	1,077	11.0x	9.4x
Azenta, Inc.AZTA	885	1.2x	1.2x
Industry Median		5.2x	4.0x
(*) Revenue		655	704
= Enterprise Value		3,383	2,833
(-) Net Debt		187	187
Equity Value		3,196	2,646
(/) Outstanding shares		111	111
Fair Price		$29	$24

Selected Fair Value (avg of trailing + forward)

$26.21

+46.5%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

$0.38 – $32.40

$6.07

-66.1%

Revenue DCF 10Y

$0.92 – $36.80

$8.15

-54.4%

▸ Trading Multiples

EV/Revenue

$5.42 – $63.20

$26.21

+46.5%

DCF Analysis

NovoCure Limited (NVCR) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$8.15

Market Price

$17.89

Upside / Downside

-54.4%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-23.5%

Target Operating Margin

13.2%

WACC

8.3%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

5.0%

Target CapEx/Rev

6.0%

D&A/Revenue

1.2%

Tax Rate

21.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	704	7.4%	-16.1%	-114	-114	8	(36)	40	-181	-174
2027	777	10.4%	-8.8%	-68	-68	9	(40)	3	-103	-91
2028	934	20.1%	-1.5%	-14	-14	11	(49)	7	-59	-49
2029	1,468	57.2%	5.9%	86	68	17	(79)	25	-19	-14
2030	1,753	19.4%	13.2%	231	183	21	(96)	13	94	65
2031	1,837	4.8%	13.2%	242	191	22	(103)	4	106	68
2032	1,919	4.5%	13.2%	253	200	23	(109)	4	109	65
2033	1,998	4.1%	13.2%	264	208	24	(116)	4	112	62
2034	2,073	3.7%	13.2%	273	216	24	(122)	3	115	58
2035	2,142	3.4%	13.2%	283	223	25	(129)	3	117	55

Enterprise Value Bridge

Sum of PV(FCFF)45

Terminal Value (Gordon Growth at 3.0%)2,249

PV of Terminal Value1,050

Enterprise Value1,095

(–) Net Debt187

Equity Value909

(÷) Shares Outstanding111

Fair Value per Share$8.15

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.2%	10.2%	13.2%	16.2%	19.2%
6.3%	$-3	$7	$17	$27	$37
7.3%	$-3	$4	$12	$19	$26
8.3%	$-4	$2	$8	$14	$20
9.3%	$-4	$1	$6	$11	$16
10.3%	$-4	$0	$4	$8	$12

Current price: $17.89. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 4.6% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$26.21

Market Price

$17.89

Upside / Downside

+46.5%

Verdict

Undervalued

EV/Revenue Valuation — Medical - Instruments & Supplies

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
NovoCure LimitedNVCR	1,994	3.3x	3.1x
Establishment Labs Holdings Inc.ESTA	2,109	10.9x	8.6x
Neogen CorporationNEOG	1,970	3.1x	3.2x
STAAR Surgical CompanySTAA	1,351	5.2x	4.0x
Teladoc Health, Inc.TDOC	1,256	0.6x	0.6x
Kestra Medical Technologies, Ltd.KMTS	1,229	17.3x	17.8x
BioLife Solutions, Inc.BLFS	1,077	11.0x	9.4x
Azenta, Inc.AZTA	885	1.2x	1.2x
Industry Median		5.2x	4.0x
(*) Revenue		655	704
= Enterprise Value		3,383	2,833
(-) Net Debt		187	187
Equity Value		3,196	2,646
(/) Outstanding shares		111	111
Fair Price		$29	$24

Selected Fair Value (avg of trailing + forward)

$26.21

+46.5%