Recursion Pharmaceuticals (NASDAQ:RXRX) Earns "Buy" Rating from Needham & Company LLC

Key Points

• Recursion Pharmaceuticals received a "buy" rating from Needham & Company LLC, with a price target of $8.00, indicating a potential upside of 76.21% from its last closing price.
• Morgan Stanley has set an "equal weight" rating on the stock with a lower price target of $5.00, reflecting varying analyst opinions on the company's performance.
• In its latest earnings report, Recursion Pharmaceuticals reported a 33.3% increase in revenue year-over-year, but missed earnings expectations with a loss of $0.41 per share.

Needham & Company LLC reaffirmed their buy rating on shares of Recursion Pharmaceuticals (NASDAQ:RXRX - Free Report) in a report released on Thursday morning,Benzinga reports. Needham & Company LLC currently has a $8.00 target price on the stock.

Separately, Morgan Stanley assumed coverage on Recursion Pharmaceuticals in a research note on Thursday, July 3rd. They set an "equal weight" rating and a $5.00 price objective for the company. Two analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $7.25.

Recursion Pharmaceuticals Trading Down 0.4%

Shares of NASDAQ:RXRX traded down $0.02 during trading on Thursday, hitting $4.83. The company had a trading volume of 17,070,681 shares, compared to its average volume of 15,440,485. The stock has a market cap of $2.10 billion, a price-to-earnings ratio of -2.71 and a beta of 0.91. Recursion Pharmaceuticals has a one year low of $3.79 and a one year high of $12.36. The company has a fifty day simple moving average of $5.34 and a two-hundred day simple moving average of $5.30. The company has a debt-to-equity ratio of 0.02, a current ratio of 3.58 and a quick ratio of 3.58.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) last issued its earnings results on Tuesday, August 5th. The company reported ($0.41) earnings per share for the quarter, missing analysts' consensus estimates of ($0.35) by ($0.06). Recursion Pharmaceuticals had a negative net margin of 1,004.91% and a negative return on equity of 76.09%. The firm had revenue of $19.10 million for the quarter, compared to the consensus estimate of $15.38 million. During the same period last year, the firm earned ($0.40) earnings per share. The company's revenue for the quarter was up 33.3% on a year-over-year basis. As a group, equities analysts forecast that Recursion Pharmaceuticals will post -1.57 earnings per share for the current year.

Insider Activity

In related news, insider Najat Khan sold 36,599 shares of the firm's stock in a transaction dated Monday, August 18th. The stock was sold at an average price of $5.52, for a total transaction of $202,026.48. Following the transaction, the insider owned 668,197 shares of the company's stock, valued at $3,688,447.44. This trade represents a 5.19% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. 8.43% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Recursion Pharmaceuticals

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Ensign Peak Advisors Inc raised its holdings in Recursion Pharmaceuticals by 0.3% in the 4th quarter. Ensign Peak Advisors Inc now owns 410,286 shares of the company's stock valued at $2,774,000 after acquiring an additional 1,300 shares during the last quarter. Clear Creek Financial Management LLC grew its stake in shares of Recursion Pharmaceuticals by 9.8% during the first quarter. Clear Creek Financial Management LLC now owns 21,315 shares of the company's stock valued at $113,000 after acquiring an additional 1,907 shares in the last quarter. GAMMA Investing LLC grew its stake in shares of Recursion Pharmaceuticals by 39.0% during the first quarter. GAMMA Investing LLC now owns 7,224 shares of the company's stock valued at $38,000 after acquiring an additional 2,026 shares in the last quarter. TD Waterhouse Canada Inc. grew its stake in shares of Recursion Pharmaceuticals by 64.1% during the second quarter. TD Waterhouse Canada Inc. now owns 5,631 shares of the company's stock valued at $29,000 after acquiring an additional 2,200 shares in the last quarter. Finally, Mirae Asset Global Investments Co. Ltd. grew its stake in Recursion Pharmaceuticals by 16.8% in the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 15,439 shares of the company's stock worth $78,000 after purchasing an additional 2,219 shares in the last quarter. Hedge funds and other institutional investors own 89.06% of the company's stock.

About Recursion Pharmaceuticals

Recursion Pharmaceuticals, Inc operates as a clinical-stage biotechnology company, engages in the decoding biology by integrating technological innovations across biology, chemistry, automation, data science, and engineering to industrialize drug discovery. The company develops REC-994, which is in Phase 2 clinical trial to treat cerebral cavernous malformation; REC-2282, which is in Phase 2/3 clinical trial for the treatment of neurofibromatosis type 2; REC-4881, which is in Phase 1b/2 clinical trial to treat familial adenomatous polyposis; REC-3964, which is in Phase 1 clinical trial to treat Clostridioides difficile infection; and REC-4881, which is in Phase 2 clinical trial to treat AXIN1 or APC mutant cancers.