Richtech Robotics (NASDAQ:RR) Shares Gap Down Following Insider Selling

Key Points

• Richtech Robotics' shares gapped down to $4.14 after COO Phil Zheng sold 100,000 shares at an average price of $5.11, reducing his ownership by 9.09%.
• Analyst ratings for Richtech Robotics vary, with HC Wainwright raising its target price to $6.00 while Wall Street Zen downgraded the stock to a "sell" rating, resulting in an average consensus target price of $4.50.
• The company reported a negative net margin of 366.21% for its last quarter, with revenue of $1.18 million, missing analyst estimates of $1.42 million.

Richtech Robotics Inc. (NASDAQ:RR - Get Free Report)'s stock price gapped down before the market opened on Thursday following insider selling activity. The stock had previously closed at $4.41, but opened at $4.14. Richtech Robotics shares last traded at $4.19, with a volume of 11,387,707 shares traded.

Specifically, COO Phil Zheng sold 100,000 shares of the stock in a transaction dated Monday, September 22nd. The shares were sold at an average price of $5.11, for a total transaction of $511,000.00. Following the completion of the sale, the chief operating officer owned 1,000,000 shares in the company, valued at approximately $5,110,000. This represents a 9.09% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link.

Analyst Ratings Changes

Several research firms have commented on RR. HC Wainwright lifted their target price on shares of Richtech Robotics from $3.50 to $6.00 and gave the stock a "buy" rating in a research note on Friday, September 19th. Wall Street Zen lowered shares of Richtech Robotics from a "hold" rating to a "sell" rating in a research note on Sunday, September 7th. Two analysts have rated the stock with a Buy rating, According to data from MarketBeat, the company has an average rating of "Buy" and a consensus target price of $4.50.

Richtech Robotics Price Performance

The firm has a market cap of $636.43 million, a P/E ratio of -24.92 and a beta of -4.46. The stock's 50 day moving average is $2.68 and its two-hundred day moving average is $2.27.

Richtech Robotics (NASDAQ:RR - Get Free Report) last announced its quarterly earnings data on Monday, August 11th. The company reported ($0.04) earnings per share for the quarter, meeting the consensus estimate of ($0.04). The business had revenue of $1.18 million for the quarter, compared to analyst estimates of $1.42 million. Richtech Robotics had a negative net margin of 366.21% and a negative return on equity of 23.85%.

Institutional Trading of Richtech Robotics

A number of hedge funds have recently added to or reduced their stakes in the stock. Bank of America Corp DE raised its holdings in shares of Richtech Robotics by 3,231.2% during the second quarter. Bank of America Corp DE now owns 1,248,742 shares of the company's stock valued at $2,435,000 after purchasing an additional 1,211,256 shares during the period. Geode Capital Management LLC grew its position in Richtech Robotics by 128.9% in the 2nd quarter. Geode Capital Management LLC now owns 1,463,608 shares of the company's stock worth $2,854,000 after purchasing an additional 824,253 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. bought a new stake in Richtech Robotics in the 1st quarter worth about $1,630,000. OMERS ADMINISTRATION Corp bought a new stake in Richtech Robotics in the 1st quarter worth about $703,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. purchased a new stake in shares of Richtech Robotics during the 2nd quarter valued at approximately $526,000. Institutional investors and hedge funds own 0.01% of the company's stock.

About Richtech Robotics

Richtech Robotics Inc develops, manufactures, deploys, and sells robotic solutions for automation in the service industry. The company offers indoor transport and delivery, sanitation, and food and beverage automation solutions, such as ADAM and ARM worker robots; delivery robots, including Matradee, Matradee X, Matradee L, Richie, and Robbie; and cleaning robots comprising DUST-E SX, and DUST-E MX, as well as accessories, such as bus tubs, cup holders, magnetic tray cases, smartwatches, table location systems, and tray covers.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.