Richtech Robotics (NASDAQ:RR) Stock Price Down 8.5% - Here's What Happened

Key Points

• Richtech Robotics' stock price dropped 8.5% to $6.16, following significant trading volume of over 101 million shares, compared to an average of about 20 million.
• Wall Street analysts have varied opinions, with some upgrading the stock to a "buy" rating while others maintain a "sell" stance, leading to a current average rating of "hold" with a price target of $4.50.
• The company reported a revenue of $1.18 million for the last quarter, missing consensus estimates of $1.42 million, and has a negative net margin of 366.21%.

Richtech Robotics Inc. (NASDAQ:RR - Get Free Report)'s share price fell 8.5% during mid-day trading on Wednesday . The company traded as low as $5.86 and last traded at $6.16. 101,490,835 shares changed hands during trading, an increase of 393% from the average session volume of 20,597,705 shares. The stock had previously closed at $6.73.

Wall Street Analyst Weigh In

A number of brokerages have issued reports on RR. HC Wainwright upped their price target on shares of Richtech Robotics from $3.50 to $6.00 and gave the company a "buy" rating in a research note on Friday, September 19th. Wall Street Zen upgraded shares of Richtech Robotics from a "sell" rating to a "hold" rating in a research note on Saturday. Finally, Weiss Ratings restated a "sell (e+)" rating on shares of Richtech Robotics in a research note on Wednesday, October 8th. Two analysts have rated the stock with a Buy rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $4.50.

Richtech Robotics Stock Down 8.6%

The stock has a market cap of $921.82 million, a price-to-earnings ratio of -36.17 and a beta of -4.14. The stock's 50 day moving average price is $3.70 and its two-hundred day moving average price is $2.62.

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

Insider Transactions at Richtech Robotics

In related 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 filing with the SEC, which is available at this hyperlink. Company insiders own 25.70% of the company's stock.

Institutional Trading of Richtech Robotics

A number of hedge funds have recently added to or reduced their stakes in the company. Brookstone Capital Management purchased a new position in Richtech Robotics during the third quarter valued at $46,000. DNB Asset Management AS lifted its holdings in Richtech Robotics by 44.0% during the second quarter. DNB Asset Management AS now owns 39,919 shares of the company's stock valued at $78,000 after purchasing an additional 12,204 shares in the last quarter. Private Advisor Group LLC purchased a new position in Richtech Robotics during the first quarter valued at $25,000. ProShare Advisors LLC purchased a new position in Richtech Robotics during the second quarter valued at $28,000. Finally, WealthPlan Investment Management LLC lifted its holdings in Richtech Robotics by 11.1% during the second quarter. WealthPlan Investment Management LLC now owns 144,313 shares of the company's stock valued at $281,000 after purchasing an additional 14,450 shares in the last quarter. 0.01% of the stock is owned by hedge funds and other institutional investors.

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.

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