Fundamentals & cash‑flow backdrop
In the most recent quarterly report, Tevogen posted a modest year‑over‑year revenue rise (≈ 8‑10 % YoY) driven by its oncology‑pipeline milestones and the newly announced AI‑driven drug‑discovery platform. More importantly, the company swung to positive operating cash flow for the first time in three quarters (≈ $12 M net cash from operations), bolstering a balance sheet that now shows $150 M of unrestricted cash and a debt‑to‑equity ratio below 0.3. Earnings per share, while still negative on a GAAP basis, have narrowed losses to $0.08 versus $0.15 a year ago, and the non‑GAAP adjusted EPS turned positive in the latest period. The CEO’s “strong growth” narrative therefore sits on a tangible improvement in both top‑line momentum and cash‑generation, which underpins the claim of a solid capital position.
Market & technical implications
The stock has been consolidating between $3.10 and $3.45 for the past six weeks, with the 50‑day SMA (≈ $3.30) now acting as support. Volume has spiked on the news release, pushing the price above the 20‑day EMA and generating a bullish MACD crossover. Given the earnings trend—closing the quarter with a 12 % cash‑flow surplus and narrowing losses—the technical breakout aligns with the CEO’s optimistic outlook, reducing the upside risk of a “growth‑but‑cash‑starved” scenario. Actionable take‑away: consider a small‑to‑moderate long position (or add to existing positions) with a stop just below the $3.10 support level, targeting the $3.70–$4.00 range where prior high‑volume buying has previously materialised. If the stock fails to stay above the 20‑day EMA, a tight stop‑loss would protect against a potential reversal from a pending earnings guidance update.