Recursion Pharmaceuticals (NASDAQ:RXRX) Trading Up 5.8% - Here's What Happened

Key Points

• Recursion Pharmaceuticals' stock rose by 5.8%, reaching a high of $5.46 before closing at $5.53, although trading volume was down by 76% from the average.
• Analysts remain divided on the stock, with a consensus rating of "Hold" and a target price of $7.25, while two analysts recommend Buy and one recommends Sell.
• Despite reporting a revenue increase of 33.3% year-over-year, Recursion Pharmaceuticals missed earnings estimates with a loss of ($0.41) per share.

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX - Get Free Report) was up 5.8% during trading on Wednesday . The stock traded as high as $5.46 and last traded at $5.53. Approximately 5,916,664 shares traded hands during mid-day trading, a decline of 76% from the average daily volume of 25,121,242 shares. The stock had previously closed at $5.23.

Analyst Upgrades and Downgrades

RXRX has been the topic of several analyst reports. Needham & Company LLC reaffirmed a "buy" rating and issued a $8.00 target price on shares of Recursion Pharmaceuticals in a report on Thursday, September 11th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Recursion Pharmaceuticals in a report on Wednesday. Finally, Morgan Stanley initiated coverage on shares of Recursion Pharmaceuticals in a report on Thursday, July 3rd. They issued an "equal weight" rating and a $5.00 target price on the stock. Two investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $7.25.

Recursion Pharmaceuticals Trading Up 18.0%

The company has a quick ratio of 3.58, a current ratio of 3.58 and a debt-to-equity ratio of 0.02. The business's fifty day simple moving average is $5.07 and its two-hundred day simple moving average is $5.12. The company has a market cap of $2.68 billion, a price-to-earnings ratio of -3.47 and a beta of 0.91.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) last released its quarterly earnings data 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 return on equity of 76.09% and a negative net margin of 1,004.91%.The company had revenue of $19.10 million for the quarter, compared to analyst estimates of $15.38 million. During the same period in the previous year, the business posted ($0.40) EPS. The firm's revenue for the quarter was up 33.3% compared to the same quarter last year. On average, equities analysts predict that Recursion Pharmaceuticals, Inc. will post -1.57 EPS for the current year.

Insiders Place Their Bets

In other Recursion Pharmaceuticals news, insider Najat Khan sold 36,599 shares of the firm's stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $5.52, for a total transaction of $202,026.48. Following the sale, the insider owned 668,197 shares of the company's stock, valued at approximately $3,688,447.44. This trade represents a 5.19% 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 this link. Insiders own 8.43% of the company's stock.

Hedge Funds Weigh In On Recursion Pharmaceuticals

Hedge funds have recently modified their holdings of the business. TD Waterhouse Canada Inc. grew its position 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 worth $29,000 after acquiring an additional 2,200 shares during the last quarter. AlphaQuest LLC purchased a new position in shares of Recursion Pharmaceuticals during the first quarter worth approximately $36,000. GAMMA Investing LLC grew its position 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 worth $38,000 after acquiring an additional 2,026 shares during the last quarter. Caitong International Asset Management Co. Ltd grew its position in shares of Recursion Pharmaceuticals by 97.2% during the second quarter. Caitong International Asset Management Co. Ltd now owns 9,019 shares of the company's stock worth $46,000 after acquiring an additional 4,446 shares during the last quarter. Finally, Janney Montgomery Scott LLC purchased a new position in shares of Recursion Pharmaceuticals during the second quarter worth approximately $51,000. 89.06% of the stock is currently owned by hedge funds and other institutional investors.

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.

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