Stock Traders Purchase High Volume of Recursion Pharmaceuticals Call Options (NASDAQ:RXRX)

Key Points

• Options activity surged: Traders purchased 30,719 Recursion Pharmaceuticals call options, 87% above the typical daily volume of 16,400 contracts.
• Institutional ownership remains high: Institutional investors own 89.06% of the stock, while insiders sold 131,937 shares worth approximately $478,874 over the past three months.
• Shares and fundamentals remain pressured: RXRX fell 1.3% to $3.52 after the company missed quarterly earnings and revenue estimates. Analysts maintain a consensus “Hold” rating with an $8.06 price target, despite mixed recommendations.

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX - Get Free Report) saw unusually large options trading activity on Wednesday. Traders acquired 30,719 call options on the company. This is an increase of 87% compared to the typical daily volume of 16,400 call options.

Insider Activity

In related news, Director Blake Borgeson sold 30,000 shares of the firm's stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $3.25, for a total transaction of $97,500.00. Following the completion of the sale, the director directly owned 6,188,287 shares of the company's stock, valued at approximately $20,111,932.75. This trade represents a 0.48% decrease in their position. The sale was disclosed in a legal filing 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, CEO Najat Khan sold 23,588 shares of the company's stock in a transaction on Friday, June 5th. The shares were sold at an average price of $3.58, for a total value of $84,445.04. Following the completion of the transaction, the chief executive officer directly owned 2,175,796 shares in the company, valued at $7,789,349.68. This trade represents a 1.07% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 131,937 shares of company stock valued at $478,874. 6.65% of the stock is owned by insiders.

Institutional Trading of Recursion Pharmaceuticals

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new position in shares of Recursion Pharmaceuticals in the 2nd quarter valued at $315,000. California State Teachers Retirement System lifted its stake in shares of Recursion Pharmaceuticals by 257.8% during the 2nd quarter. California State Teachers Retirement System now owns 2,055,919 shares of the company's stock worth $7,545,000 after purchasing an additional 1,481,282 shares during the last quarter. Raiffeisen Bank International AG boosted its position in Recursion Pharmaceuticals by 6.2% during the second quarter. Raiffeisen Bank International AG now owns 170,000 shares of the company's stock valued at $627,000 after purchasing an additional 10,000 shares in the last quarter. Syon Capital LLC grew its stake in Recursion Pharmaceuticals by 204.5% in the second quarter. Syon Capital LLC now owns 33,399 shares of the company's stock valued at $123,000 after purchasing an additional 22,429 shares during the last quarter. Finally, Quantitative Investment Management LLC purchased a new position in Recursion Pharmaceuticals in the second quarter valued at about $326,000. Institutional investors own 89.06% of the company's stock.

Recursion Pharmaceuticals Stock Down 1.3%

Recursion Pharmaceuticals stock traded down $0.04 during midday trading on Wednesday, hitting $3.52. 7,629,576 shares of the company's stock were exchanged, compared to its average volume of 18,196,465. The company has a debt-to-equity ratio of 0.01, a quick ratio of 5.03 and a current ratio of 5.03. The company has a market cap of $1.88 billion, a PE ratio of -3.38 and a beta of 1.03. The firm has a 50-day moving average of $3.30 and a two-hundred day moving average of $3.35. Recursion Pharmaceuticals has a 12 month low of $2.77 and a 12 month high of $7.18.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) last announced its quarterly earnings results on Wednesday, August 5th. The company reported ($0.25) earnings per share for the quarter, missing the consensus estimate of ($0.24) by ($0.01). Recursion Pharmaceuticals had a negative return on equity of 50.41% and a negative net margin of 945.94%.The business had revenue of $7.67 million during the quarter, compared to analysts' expectations of $10.97 million. During the same period in the previous year, the company posted ($0.41) EPS. As a group, analysts expect that Recursion Pharmaceuticals will post -0.92 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

Several research analysts recently commented on RXRX shares. Wall Street Zen downgraded shares of Recursion Pharmaceuticals from a "sell" rating to a "strong sell" rating in a research note on Saturday, August 8th. Weiss Ratings reissued a "sell (d-)" rating on shares of Recursion Pharmaceuticals in a research report on Friday, July 17th. Morgan Stanley set a $5.30 target price on shares of Recursion Pharmaceuticals in a research note on Monday, August 17th. JPMorgan Chase & Co. reduced their target price on shares of Recursion Pharmaceuticals from $11.00 to $10.00 and set an "overweight" rating on the stock in a research report on Thursday, April 30th. Finally, Needham & Company LLC reaffirmed a "buy" rating and set a $8.00 price target on shares of Recursion Pharmaceuticals in a research note on Thursday, May 7th. Two analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $8.06.

About Recursion Pharmaceuticals

Recursion Pharmaceuticals, Inc NASDAQ: RXRX is a biopharmaceutical company that combines advanced automation, artificial intelligence and high-throughput biology to discover and develop novel therapeutics. The company's proprietary platform integrates deep-learning algorithms with large-scale cellular imaging and chemical biology, enabling the rapid identification of potential drug candidates across a range of indications. By automating complex laboratory workflows and leveraging computational models, Recursion aims to accelerate the drug discovery process and expand the scope of targets that can be addressed.

At the core of Recursion's offering is its digital biology platform, which captures billions of cell images under varying chemical and genetic perturbations.

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