Recursion Pharmaceuticals (NASDAQ:RXRX) Posts Earnings Results

Key Points

• Recursion Pharmaceuticals met earnings expectations, reporting quarterly EPS of ($0.22), in line with analysts’ consensus, while revenue of $18.55 million exceeded estimates of $14.81 million. The company remained deeply unprofitable, with a negative net margin of 945.94%.
• Shares fell 5.0% to $3.83 after the results. Analysts maintain a mixed outlook, with the stock carrying a consensus “Hold” rating and an average price target of $8.18.
• Insiders sold shares during the latest quarter, including CEO Najat Khan and director Blake Borgeson; insiders sold 157,408 shares worth approximately $643,576 in total.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) issued its quarterly earnings data on Monday. The company reported ($0.22) EPS for the quarter, hitting analysts' consensus estimates of ($0.22), FiscalAI reports. Recursion Pharmaceuticals had a negative net margin of 945.94% and a negative return on equity of 50.41%. The business had revenue of $18.55 million during the quarter, compared to analysts' expectations of $14.81 million.

Recursion Pharmaceuticals Trading Down 5.0%

Shares of RXRX traded down $0.20 during midday trading on Monday, hitting $3.83. The stock had a trading volume of 22,499,747 shares, compared to its average volume of 19,653,320. Recursion Pharmaceuticals has a 1 year low of $2.77 and a 1 year high of $5.76. The firm has a market cap of $2.05 billion, a PE ratio of -3.68 and a beta of 1.15. The company has a debt-to-equity ratio of 0.01, a current ratio of 5.03 and a quick ratio of 5.03. The stock's 50 day moving average is $3.74 and its 200 day moving average is $3.54.

Analysts Set New Price Targets

A number of research analysts recently commented on RXRX shares. Wall Street Zen raised shares of Recursion Pharmaceuticals from a "strong sell" rating to a "sell" rating in a report on Saturday, October 17th. Morgan Stanley set a $5.90 price objective on Recursion Pharmaceuticals in a research note on Friday, October 16th. Needham & Company LLC restated a "buy" rating and set a $8.00 price objective on shares of Recursion Pharmaceuticals in a research report on Monday, October 19th. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Recursion Pharmaceuticals in a research note on Thursday, October 15th. Two analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company has an average rating of "Hold" and a consensus price target of $8.18.

Insider Transactions at Recursion Pharmaceuticals

In related news, CEO Najat Khan sold 22,408 shares of Recursion Pharmaceuticals stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $3.52, for a total transaction of $78,876.16. Following the completion of the transaction, the chief executive officer directly owned 2,072,890 shares of the company's stock, valued at approximately $7,296,572.80. The trade was a 1.07% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Blake Borgeson sold 50,000 shares of the company's stock in a transaction dated Tuesday, October 6th. The shares were sold at an average price of $4.84, for a total transaction of $242,000.00. Following the transaction, the director owned 6,108,287 shares in the company, valued at $29,564,109.08. The trade was a 0.81% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 157,408 shares of company stock worth $643,576. 6.65% of the stock is currently owned by insiders.

Recursion Pharmaceuticals Company Profile

Recursion Pharmaceuticals, Inc is a biotechnology company that uses advanced computing, artificial intelligence and automated biology to discover and develop new medicines. The company's platform, known as the Recursion Operating System, combines large-scale biological experimentation with machine learning and data analysis to identify potential drug candidates and characterize how diseases respond to treatments.

Recursion applies its technology to a range of therapeutic areas, including oncology, rare diseases, neuroscience and infectious diseases.

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