Serve Robotics Inc. (SERV) - What Are Investment Firms Saying About This Stock?

Key Points

• Analyst sentiment is moderately bullish: Seven firms give Serve Robotics an average “Moderate Buy” rating, with four buys and one strong buy. The average 12-month price target is $14.77, though recent target cuts from Oppenheimer and Guggenheim lowered their targets to $7.
• Serve Robotics is facing significant financial pressure: The stock opened at $3.79, near its 12-month low of $3.72, after the company missed quarterly EPS and revenue estimates. Analysts expect a full-year loss of $2.71 per share.
• Institutional ownership increased while insiders sold shares: BlackRock and State Street expanded their positions, and several other funds initiated stakes. Meanwhile, insiders sold 124,220 shares worth roughly $585,554 over the past 90 days, primarily to cover tax obligations tied to equity awards.

Serve Robotics Inc. (NASDAQ:SERV - Get Free Report) has been given an average recommendation of "Moderate Buy" by the seven research firms that are currently covering the company, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell recommendation, one has assigned a hold recommendation, four have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1 year target price among brokerages that have issued ratings on the stock in the last year is $14.77.

A number of research analysts have recently commented on SERV shares. Cantor Fitzgerald downgraded shares of Serve Robotics from an "overweight" rating to a "neutral" rating in a research report on Friday, August 7th. Weiss Ratings raised shares of Serve Robotics from a "sell (e+)" rating to a "sell (d-)" rating in a report on Tuesday, July 21st. Oppenheimer dropped their target price on shares of Serve Robotics from $20.00 to $7.00 and set an "outperform" rating for the company in a research report on Friday, August 7th. Guggenheim decreased their target price on Serve Robotics from $13.00 to $7.00 and set a "buy" rating on the stock in a research report on Monday, August 10th. Finally, Freedom Capital raised Serve Robotics from a "hold" rating to a "strong-buy" rating in a report on Friday, August 14th.

Insider Transactions at Serve Robotics

In other news, CEO Ali Kashani sold 45,158 shares of the firm's stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $4.56, for a total transaction of $205,920.48. Following the completion of the transaction, the chief executive officer directly owned 3,232,933 shares in the company, valued at $14,742,174.48. This trade represents a 1.38% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Touraj Parang sold 37,993 shares of the firm's stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $4.55, for a total transaction of $172,868.15. Following the transaction, the chief operating officer owned 1,260,251 shares of the company's stock, valued at approximately $5,734,142.05. The trade was a 2.93% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 124,220 shares of company stock worth $585,554 over the last ninety days. 5.00% of the stock is owned by insiders.

Hedge Funds Weigh In On Serve Robotics

A number of institutional investors and hedge funds have recently modified their holdings of the business. BlackRock Inc. raised its holdings in shares of Serve Robotics by 24.5% during the second quarter. BlackRock Inc. now owns 6,040,854 shares of the company's stock valued at $39,749,000 after purchasing an additional 1,190,622 shares during the period. Grange Capital LLC acquired a new stake in shares of Serve Robotics in the 1st quarter valued at about $2,426,000. State Street Corp grew its stake in shares of Serve Robotics by 90.7% in the 2nd quarter. State Street Corp now owns 2,456,658 shares of the company's stock valued at $16,165,000 after buying an additional 1,168,714 shares during the period. Landscape Capital Management L.L.C. acquired a new stake in shares of Serve Robotics in the 2nd quarter valued at about $1,788,000. Finally, Legal & General Group Plc bought a new stake in Serve Robotics in the 2nd quarter valued at about $8,410,000.

Serve Robotics Stock Down 3.1%

Shares of SERV stock opened at $3.79 on Wednesday. The company's fifty day simple moving average is $4.69 and its 200-day simple moving average is $6.54. Serve Robotics has a 12 month low of $3.72 and a 12 month high of $18.64. The firm has a market cap of $328.63 million, a PE ratio of -1.55 and a beta of 1.43.

Serve Robotics (NASDAQ:SERV - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The company reported ($0.80) EPS for the quarter, missing analysts' consensus estimates of ($0.69) by ($0.11). The business had revenue of $3.24 million for the quarter, compared to analyst estimates of $3.51 million. Serve Robotics had a negative return on equity of 55.34% and a negative net margin of 2,315.80%. On average, equities analysts predict that Serve Robotics will post -2.71 earnings per share for the current fiscal year.

About Serve Robotics

Serve Robotics develops and operates autonomous, sidewalk-based delivery robots designed to transport food, groceries and other goods over short distances. Its robots use cameras, sensors, mapping technology and artificial intelligence to navigate urban environments, interact with pedestrians and complete deliveries with limited human assistance.

The company's delivery platform is intended to support restaurants, merchants and delivery providers by offering an additional fulfillment option for local orders.

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