Recursion Pharmaceuticals (NASDAQ:RXRX) Upgraded to Overweight at JPMorgan Chase & Co.

Key Points

• JPMorgan upgraded Recursion Pharmaceuticals from "neutral" to "overweight" and raised its target to $11 (from $10), implying roughly a 162% upside from the stock's current price.
• Analyst coverage is mixed—three Buys, three Holds and one Sell—leaving a MarketBeat consensus rating of "Hold" and a consensus target of $9.50 while shares trade near $4.20 with a $2.18 billion market cap.
• Recent results show weakness: revenue plunged ~80% year-over-year to $5.18 million (well below expectations) and EPS was -$0.36, and a director sold 220,000 shares at about $4.37, slightly reducing insider ownership.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) was upgraded by equities researchers at JPMorgan Chase & Co. from a "neutral" rating to an "overweight" rating in a report issued on Wednesday,Benzinga reports. The firm currently has a $11.00 target price on the stock, up from their prior target price of $10.00. JPMorgan Chase & Co.'s target price indicates a potential upside of 161.90% from the company's current price.

Other equities analysts also recently issued research reports about the company. Weiss Ratings restated a "sell (d-)" rating on shares of Recursion Pharmaceuticals in a research note on Wednesday, October 8th. Needham & Company LLC reissued a "buy" rating and issued a $8.00 price objective on shares of Recursion Pharmaceuticals in a research report on Thursday, September 11th. Morgan Stanley set a $11.00 price objective on Recursion Pharmaceuticals in a research note on Wednesday. Finally, UBS Group set a $11.00 target price on Recursion Pharmaceuticals in a research report on Wednesday. Three research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, Recursion Pharmaceuticals currently has a consensus rating of "Hold" and a consensus target price of $9.50.

Recursion Pharmaceuticals Stock Performance

Shares of RXRX stock opened at $4.20 on Wednesday. The company has a debt-to-equity ratio of 0.01, a current ratio of 4.60 and a quick ratio of 4.60. The firm has a 50-day moving average of $5.03 and a 200-day moving average of $5.14. Recursion Pharmaceuticals has a one year low of $3.79 and a one year high of $12.36. The company has a market cap of $2.18 billion, a P/E ratio of -2.33 and a beta of 0.94.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) last released its quarterly earnings results on Wednesday, November 5th. The company reported ($0.36) earnings per share for the quarter, topping the consensus estimate of ($0.38) by $0.02. Recursion Pharmaceuticals had a negative net margin of 1,637.81% and a negative return on equity of 72.74%. The business had revenue of $5.18 million for the quarter, compared to analysts' expectations of $19.36 million. During the same period in the previous year, the company earned ($0.34) earnings per share. The firm's revenue for the quarter was down 80.1% compared to the same quarter last year. Equities research analysts forecast that Recursion Pharmaceuticals will post -1.57 EPS for the current fiscal year.

Insider Transactions at Recursion Pharmaceuticals

In other Recursion Pharmaceuticals news, Director Blake Borgeson sold 220,000 shares of the firm's stock in a transaction on Tuesday, December 2nd. The stock was sold at an average price of $4.37, for a total value of $961,400.00. Following the completion of the sale, the director directly owned 6,869,863 shares of the company's stock, valued at $30,021,301.31. This trade represents a 3.10% 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 owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. TD Waterhouse Canada Inc. raised its stake in Recursion Pharmaceuticals by 64.1% in the 2nd 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 during the period. AlphaQuest LLC purchased a new position in shares of Recursion Pharmaceuticals in the first quarter worth about $36,000. Caitong International Asset Management Co. Ltd raised its position in shares of Recursion Pharmaceuticals by 97.2% in the second quarter. Caitong International Asset Management Co. Ltd now owns 9,019 shares of the company's stock valued at $46,000 after purchasing an additional 4,446 shares during the period. Allworth Financial LP lifted its stake in shares of Recursion Pharmaceuticals by 85.6% during the 3rd quarter. Allworth Financial LP now owns 9,548 shares of the company's stock valued at $47,000 after buying an additional 4,403 shares in the last quarter. Finally, Janney Montgomery Scott LLC purchased a new stake in shares of Recursion Pharmaceuticals during the 2nd quarter valued at approximately $51,000. Institutional investors own 89.06% of the company's stock.

Recursion Pharmaceuticals Company Profile

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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