Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) Receives Average Rating of "Hold" from Brokerages

Key Points

• Recursion Pharmaceuticals has a consensus analyst rating of “Hold” from five brokerages, with an average 12-month price target of $8.10. Current opinions are mixed, including one sell, two hold, and two buy ratings.
• The company recently beat EPS expectations, reporting -$0.22 per share versus an expected -$0.30, but revenue of $6.47 million came in well below estimates and fell 56.8% year over year.
• Insider selling has been notable, including transactions by the CFO and a director, while institutional investors own 89.06% of the stock, indicating heavy institutional involvement despite recent selling pressure.

Shares of Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX - Get Free Report) have received an average rating of "Hold" from the five research firms that are presently covering the firm, MarketBeat reports. One analyst has rated the stock with a sell rating, two have issued a hold rating and two have assigned a buy rating to the company. The average 1 year price target among brokers that have issued ratings on the stock in the last year is $8.10.

A number of analysts have recently issued reports on the company. Morgan Stanley lifted their price target on Recursion Pharmaceuticals from $5.00 to $5.50 and gave the company an "equal weight" rating in a research report on Thursday, May 14th. Bank of America dropped their price target on Recursion Pharmaceuticals from $7.00 to $6.00 and set a "neutral" rating for the company in a research report on Wednesday, February 25th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Recursion Pharmaceuticals in a research report on Tuesday, April 21st. Wall Street Zen downgraded Recursion Pharmaceuticals from a "hold" rating to a "sell" rating in a research report on Saturday, March 28th. Finally, Needham & Company LLC reiterated a "buy" rating and set a $8.00 price target on shares of Recursion Pharmaceuticals in a research report on Thursday, May 7th.

Recursion Pharmaceuticals Price Performance

Shares of NASDAQ:RXRX opened at $3.22 on Wednesday. The company has a 50 day moving average of $3.31 and a 200 day moving average of $3.80. The stock has a market cap of $1.71 billion, a P/E ratio of -2.68 and a beta of 1.04. Recursion Pharmaceuticals has a 12 month low of $2.77 and a 12 month high of $7.18. The company has a current ratio of 5.47, a quick ratio of 5.47 and a debt-to-equity ratio of 0.01.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) last issued its quarterly earnings data on Wednesday, May 6th. The company reported ($0.22) EPS for the quarter, beating the consensus estimate of ($0.30) by $0.08. The company had revenue of $6.47 million during the quarter, compared to analysts' expectations of $15.78 million. Recursion Pharmaceuticals had a negative net margin of 842.95% and a negative return on equity of 54.33%. Recursion Pharmaceuticals's revenue for the quarter was down 56.8% on a year-over-year basis. During the same quarter in the previous year, the company earned ($0.50) earnings per share. As a group, sell-side analysts forecast that Recursion Pharmaceuticals will post -0.99 EPS for the current fiscal year.

Insider Activity

In other news, CFO Ben R. Taylor sold 7,956 shares of Recursion Pharmaceuticals stock in a transaction dated Tuesday, March 17th. The stock was sold at an average price of $3.39, for a total transaction of $26,970.84. Following the completion of the sale, the chief financial officer owned 1,180,318 shares in the company, valued at approximately $4,001,278.02. This trade represents a 0.67% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Blake Borgeson sold 30,000 shares of Recursion Pharmaceuticals stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $3.68, for a total value of $110,400.00. Following the sale, the director owned 6,169,863 shares of the company's stock, valued at approximately $22,705,095.84. This trade represents a 0.48% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 125,930 shares of company stock worth $435,942. 8.43% of the stock is currently owned by insiders.

Institutional Trading of Recursion Pharmaceuticals

A number of hedge funds have recently bought and sold shares of the company. Xponance Inc. lifted its position in Recursion Pharmaceuticals by 8.0% in the 3rd quarter. Xponance Inc. now owns 30,020 shares of the company's stock worth $146,000 after buying an additional 2,221 shares during the last quarter. NewEdge Advisors LLC lifted its holdings in shares of Recursion Pharmaceuticals by 28.1% in the 2nd quarter. NewEdge Advisors LLC now owns 11,061 shares of the company's stock worth $56,000 after acquiring an additional 2,428 shares during the last quarter. Equitable Holdings Inc. lifted its holdings in shares of Recursion Pharmaceuticals by 7.1% in the 3rd quarter. Equitable Holdings Inc. now owns 39,400 shares of the company's stock worth $192,000 after acquiring an additional 2,600 shares during the last quarter. Universal Beteiligungs und Servicegesellschaft mbH lifted its holdings in shares of Recursion Pharmaceuticals by 1.2% in the 4th quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 232,370 shares of the company's stock worth $954,000 after acquiring an additional 2,753 shares during the last quarter. Finally, Daiwa Securities Group Inc. lifted its holdings in shares of Recursion Pharmaceuticals by 29.3% in the 2nd quarter. Daiwa Securities Group Inc. now owns 12,706 shares of the company's stock worth $64,000 after acquiring an additional 2,883 shares during the last quarter. Institutional investors own 89.06% of the company's stock.

Recursion Pharmaceuticals Company Profile

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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