Recursion Pharmaceuticals (NASDAQ:RXRX) Stock Price Down 8.8% - Here's What Happened

Key Points

• Recursion Pharmaceuticals shares fell 8.8% to approximately $3.70 in mid-day trading, with about 15.3 million shares changing hands.
• Analysts have a consensus “Hold” rating and an average price target of $8.06, implying substantial potential upside from the trading price.
• The company recently reported a quarterly loss of $0.25 per share and revenue of $7.67 million, missing analyst expectations for both earnings and revenue; insiders have also sold 122,408 shares over the past 90 days.

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX - Get Free Report) shares dropped 8.8% during mid-day trading on Wednesday . The company traded as low as $3.71 and last traded at $3.6950. Approximately 15,342,385 shares changed hands during trading, a decline of 16% from the average daily volume of 18,306,123 shares. The stock had previously closed at $4.05.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on the stock. Wall Street Zen raised shares of Recursion Pharmaceuticals from a "strong sell" rating to a "sell" rating in a research note on Saturday, August 29th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Recursion Pharmaceuticals in a research note on Friday, July 17th. Finally, Morgan Stanley set a $5.30 price objective on Recursion Pharmaceuticals in a research note on Monday, August 17th. Two equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, Recursion Pharmaceuticals currently has an average rating of "Hold" and a consensus target price of $8.06.

Recursion Pharmaceuticals Stock Down 8.5%

The business's 50 day moving average is $3.29 and its 200 day moving average is $3.33. The company has a quick ratio of 5.03, a current ratio of 5.03 and a debt-to-equity ratio of 0.01. The company has a market cap of $1.98 billion, a P/E ratio of -3.56 and a beta of 1.07.

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

Insider Activity at Recursion Pharmaceuticals

In other Recursion Pharmaceuticals news, CEO Najat Khan sold 22,408 shares of Recursion Pharmaceuticals stock in a transaction on Tuesday, September 8th. The shares were sold at an average price of $3.52, for a total value of $78,876.16. Following 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 ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Blake Borgeson sold 30,000 shares of the company's stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $3.34, for a total value of $100,200.00. Following the transaction, the director directly owned 6,158,287 shares in the company, valued at approximately $20,568,678.58. The trade was a 0.48% decrease in their ownership of the stock. 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. Over the last 90 days, insiders sold 122,408 shares of company stock valued at $434,976. 6.65% of the stock is owned by insiders.

Hedge Funds Weigh In On Recursion Pharmaceuticals

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in RXRX. Norges Bank acquired a new stake in shares of Recursion Pharmaceuticals in the fourth quarter worth approximately $23,473,000. Lingotto Investment Management LLP boosted its holdings in shares of Recursion Pharmaceuticals by 34.2% during the 4th quarter. Lingotto Investment Management LLP now owns 4,931,057 shares of the company's stock worth $20,168,000 after purchasing an additional 1,255,980 shares during the last quarter. First Trust Advisors LP grew its position in shares of Recursion Pharmaceuticals by 15.2% in the first quarter. First Trust Advisors LP now owns 2,610,726 shares of the company's stock valued at $8,015,000 after purchasing an additional 344,035 shares in the last quarter. Bank of America Corp DE grew its position in shares of Recursion Pharmaceuticals by 18.2% in the first quarter. Bank of America Corp DE now owns 2,496,831 shares of the company's stock valued at $7,665,000 after purchasing an additional 384,486 shares in the last quarter. Finally, Renaissance Technologies LLC acquired a new stake in shares of Recursion Pharmaceuticals in the first quarter valued at approximately $7,370,000. Hedge funds and other institutional investors own 89.06% of the company's stock.

Recursion Pharmaceuticals Company Profile

Recursion Pharmaceuticals, Inc NASDAQ: RXRX is a biotechnology company that uses artificial intelligence, automation, and large-scale biological experimentation to accelerate the discovery and development of medicines. Its technology platform, known as the Recursion Operating System, integrates data from biology, chemistry, imaging, and machine learning to identify potential drug candidates and better understand disease biology.

The company develops therapies for areas including oncology, rare diseases, and neurological disorders.

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