LADENBURG THALM/SH SH Upgrades Serve Robotics (NASDAQ:SERV) to Strong-Buy

Key Points

• LADENBURG THALM/SH SH upgraded Serve Robotics to a "Strong-Buy", joining a mix of analysts (2 Strong Buy, 6 Buy, 1 Sell) and contributing to a consensus price target of about $17.67.
• Shares trade around $9.58 with a market cap of ~$740.7M; the company shows small revenue ($0.88M last quarter) but large losses (Q1 EPS -$0.46, consensus -2.59 EPS expected for the year).
• Insiders have sold shares recently (reported tax-withholding sales), while major institutions (Vanguard, Geode, State Street, etc.) have been increasing stakes; rapid fleet expansion in Los Angeles could boost near-term revenue but local regulation could add compliance costs.

Serve Robotics (NASDAQ:SERV - Get Free Report) was upgraded by equities researchers at LADENBURG THALM/SH SH to a "strong-buy" rating in a report issued on Wednesday,Zacks.com reports.

Several other analysts also recently commented on SERV. Cantor Fitzgerald decreased their target price on shares of Serve Robotics from $17.00 to $16.00 and set an "overweight" rating for the company in a research report on Tuesday, March 17th. Weiss Ratings reissued a "sell (d-)" rating on shares of Serve Robotics in a research report on Friday, March 27th. Finally, Guggenheim began coverage on Serve Robotics in a research note on Monday, April 20th. They set a "buy" rating and a $13.00 price target for the company. Two equities research analysts have rated the stock with a Strong Buy rating, six have given a Buy rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Buy" and a consensus target price of $17.67.

Serve Robotics Price Performance

Shares of NASDAQ SERV opened at $9.58 on Wednesday. The company has a market capitalization of $740.73 million, a P/E ratio of -6.03 and a beta of 0.96. Serve Robotics has a one year low of $5.87 and a one year high of $18.64. The business's 50-day moving average price is $9.26 and its two-hundred day moving average price is $10.72.

Serve Robotics (NASDAQ:SERV - Get Free Report) last posted its earnings results on Thursday, March 12th. The company reported ($0.46) EPS for the quarter, topping the consensus estimate of ($0.49) by $0.03. The company had revenue of $0.88 million during the quarter, compared to the consensus estimate of $0.77 million. Serve Robotics had a negative net margin of 3,821.98% and a negative return on equity of 38.54%. On average, equities analysts anticipate that Serve Robotics will post -2.59 EPS for the current year.

Insider Buying and Selling

In related news, COO Touraj Parang sold 3,861 shares of the company's stock in a transaction on Wednesday, April 8th. The shares were sold at an average price of $8.62, for a total transaction of $33,281.82. Following the completion of the sale, the chief operating officer directly owned 1,312,344 shares of the company's stock, valued at approximately $11,312,405.28. This represents a 0.29% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Anthony Armenta sold 3,567 shares of the company's stock in a transaction on Friday, March 13th. The stock was sold at an average price of $9.82, for a total transaction of $35,027.94. Following the sale, the insider directly owned 540,919 shares of the company's stock, valued at approximately $5,311,824.58. This represents a 0.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 61,978 shares of company stock valued at $586,826. Company insiders own 5.00% of the company's stock.

Institutional Trading of Serve Robotics

Several hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. boosted its stake in Serve Robotics by 25.2% during the 3rd quarter. Vanguard Group Inc. now owns 2,594,869 shares of the company's stock valued at $30,178,000 after purchasing an additional 521,945 shares during the period. Geode Capital Management LLC boosted its stake in Serve Robotics by 29.1% during the 4th quarter. Geode Capital Management LLC now owns 1,457,965 shares of the company's stock valued at $15,137,000 after purchasing an additional 328,405 shares during the period. Exchange Traded Concepts LLC boosted its stake in Serve Robotics by 12.5% during the 4th quarter. Exchange Traded Concepts LLC now owns 1,247,559 shares of the company's stock valued at $12,950,000 after purchasing an additional 138,558 shares during the period. State Street Corp boosted its stake in Serve Robotics by 29.5% during the 4th quarter. State Street Corp now owns 1,245,411 shares of the company's stock valued at $12,927,000 after purchasing an additional 283,497 shares during the period. Finally, First Trust Advisors LP boosted its stake in Serve Robotics by 34.5% during the 4th quarter. First Trust Advisors LP now owns 1,022,459 shares of the company's stock valued at $10,613,000 after purchasing an additional 262,348 shares during the period.

More Serve Robotics News

Here are the key news stories impacting Serve Robotics this week:

• Positive Sentiment: Rapid fleet expansion in Los Angeles increases Serve's near-term addressable market and revenue pickup potential as the company rolls deeper into grocery and restaurant deliveries. Read More.
• Positive Sentiment: Institutional/analyst interest is visible — Guggenheim initiated coverage with a Buy and a $13 target and other firms maintain Buy/Overweight stances, which can support momentum and investor confidence. Read More.
• Neutral Sentiment: Investors are focused on Serve's Q1 results (reporting after close May 7); previews note small revenues to date, prior-quarter EPS that beat modestly, and expectations that losses will persist as the company scales. Q1 execution vs. guidance will likely drive near-term movement. Read More.
• Neutral Sentiment: Local governments (Glendale and other LA-area cities) are beginning to draft rules for sidewalk delivery robots — this legitimizes the business but introduces potential compliance costs or operational limits that investors should monitor. Read More.
• Negative Sentiment: CFO Brian Read sold 1,179 shares (reported as a tax-withholding sale). While disclosed as routine, insider selling can be perceived negatively by some investors and adds short-term selling pressure risk. Read More.

About Serve Robotics

Serve Robotics develops and operates autonomous sidewalk delivery robots designed to transform last-mile logistics for restaurants, retailers and grocery brands. By combining proprietary hardware, sensor suites and dispatch software, the company enables on-demand deliveries of food, beverages and consumer goods while minimizing reliance on traditional vehicle fleets.

The core Serve robot integrates four-wheeled mobility, LiDAR and vision cameras with AI-driven navigation algorithms to detect obstacles, traverse urban sidewalks and interact safely with pedestrians.

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