Richtech Robotics (NASDAQ:RR) Shares Up 7.3% - Should You Buy?

Key Points

• Richtech Robotics Inc. (NASDAQ:RR) shares rose 7.3% during mid-day trading, reaching a high of $7.43 and last trading at $7.06, with a notable increase in trading volume of 353% over the average.
• Analysts have mixed ratings on the stock, with two analysts rating it as a Buy, one as Sell, and a consensus rating of "Hold" with an average price target of $4.50.
• Richtech Robotics has experienced significant financial challenges, reporting a quarterly revenue of $1.18 million, which fell short of the consensus estimate, while demonstrating a negative return on equity of 23.85%.

Shares of Richtech Robotics Inc. (NASDAQ:RR - Get Free Report) were up 7.3% during mid-day trading on Tuesday . The stock traded as high as $7.43 and last traded at $7.06. Approximately 86,010,187 shares changed hands during mid-day trading, an increase of 353% from the average daily volume of 18,994,742 shares. The stock had previously closed at $6.58.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on RR. Weiss Ratings reiterated a "sell (e+)" rating on shares of Richtech Robotics in a research note on Saturday, September 27th. HC Wainwright increased their price objective on shares of Richtech Robotics from $3.50 to $6.00 and gave the company a "buy" rating in a research report on Friday, September 19th. Finally, Wall Street Zen downgraded shares of Richtech Robotics from a "hold" rating to a "sell" rating in a research note on Sunday, September 7th. Two equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $4.50.

Richtech Robotics Stock Performance

The firm has a market capitalization of $1.06 billion, a price-to-earnings ratio of -41.53 and a beta of -4.14. The company has a 50-day moving average price of $3.14 and a 200-day moving average price of $2.44.

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

Insider Transactions at Richtech Robotics

In other Richtech Robotics news, COO Phil Zheng sold 100,000 shares of the stock in a transaction on Monday, September 22nd. The shares were sold at an average price of $5.11, for a total transaction of $511,000.00. Following the sale, the chief operating officer directly owned 1,000,000 shares of the company's stock, valued at approximately $5,110,000. This represents a 9.09% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 25.70% of the stock is owned by insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Citadel Advisors LLC acquired a new position in shares of Richtech Robotics in the 4th quarter valued at $31,000. Private Advisor Group LLC purchased a new position in Richtech Robotics in the first quarter valued at about $25,000. ProShare Advisors LLC acquired a new stake in shares of Richtech Robotics in the 2nd quarter valued at $28,000. SeaCrest Wealth Management LLC acquired a new stake in Richtech Robotics in the 1st quarter worth approximately $29,000. Finally, Delos Wealth Advisors LLC bought a new position in Richtech Robotics in the 2nd quarter worth $29,000. Institutional investors own 0.01% of the company's stock.

Richtech Robotics Company Profile

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.

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