Serve Robotics (NASDAQ:SERV) Shares Down 6.5% on Insider Selling

Key Points

• Serve Robotics' shares fell by 6.5% following the insider sales of stock by Director David Michael Goldberg and insider Euan Abraham, which contributed to a significant increase in trading volume.
• Despite recent insider selling, the average analyst rating for Serve Robotics is a Buy with a consensus target price of $17.75.
• The company reported a negative earnings per share of ($0.36) for its latest quarter, missing analysts' estimates, while revenue slightly exceeded expectations at $0.64 million.

Shares of Serve Robotics Inc. (NASDAQ:SERV - Get Free Report) were down 6.5% during mid-day trading on Thursday after an insider sold shares in the company. The company traded as low as $11.61 and last traded at $12.00. Approximately 11,555,663 shares were traded during trading, an increase of 54% from the average daily volume of 7,518,639 shares. The stock had previously closed at $12.84.

Specifically, Director David Michael Goldberg sold 5,000 shares of Serve Robotics stock in a transaction that occurred on Wednesday, September 24th. The stock was sold at an average price of $13.58, for a total value of $67,900.00. Following the sale, the director owned 45,725 shares of the company's stock, valued at approximately $620,945.50. This trade represents a 9.86% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Euan Abraham sold 25,000 shares of the firm's stock in a transaction that occurred on Friday, September 19th. The shares were sold at an average price of $14.99, for a total value of $374,750.00. Following the completion of the transaction, the insider owned 227,019 shares of the company's stock, valued at approximately $3,403,014.81. This represents a 9.92% decrease in their ownership of the stock. The disclosure for this sale can be found here.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on the company. Seaport Res Ptn lowered Serve Robotics from a "strong-buy" rating to a "hold" rating in a report on Monday, August 11th. Wedbush started coverage on Serve Robotics in a research report on Wednesday, August 27th. They set an "outperform" rating and a $15.00 target price for the company. Finally, Singular Research raised Serve Robotics to a "moderate buy" rating in a report on Tuesday, August 26th. One analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, Serve Robotics currently has an average rating of "Buy" and a consensus target price of $17.75.

Serve Robotics Stock Down 6.5%

The stock has a 50-day simple moving average of $10.96 and a 200-day simple moving average of $9.47. The firm has a market capitalization of $718.56 million, a PE ratio of -10.43 and a beta of -0.19.

Serve Robotics (NASDAQ:SERV - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The company reported ($0.36) EPS for the quarter, missing analysts' consensus estimates of ($0.23) by ($0.13). The company had revenue of $0.64 million during the quarter, compared to the consensus estimate of $0.63 million. Serve Robotics had a negative return on equity of 36.47% and a negative net margin of 3,726.00%. Equities analysts forecast that Serve Robotics Inc. will post -0.98 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. Northern Trust Corp boosted its position in Serve Robotics by 178.0% during the 4th quarter. Northern Trust Corp now owns 31,633 shares of the company's stock valued at $427,000 after acquiring an additional 20,253 shares in the last quarter. Tidal Investments LLC raised its stake in Serve Robotics by 57.6% during the 4th quarter. Tidal Investments LLC now owns 51,846 shares of the company's stock valued at $700,000 after buying an additional 18,948 shares during the last quarter. Two Sigma Investments LP purchased a new stake in shares of Serve Robotics in the 4th quarter worth $815,000. Jefferies Financial Group Inc. increased its stake in shares of Serve Robotics by 30.3% in the 4th quarter. Jefferies Financial Group Inc. now owns 17,200 shares of the company's stock worth $232,000 after purchasing an additional 4,000 shares in the last quarter. Finally, Exchange Traded Concepts LLC boosted its holdings in Serve Robotics by 31.4% in the 1st quarter. Exchange Traded Concepts LLC now owns 882,522 shares of the company's stock worth $5,075,000 after buying an additional 210,977 shares during the period.

About Serve Robotics

Serve Robotics Inc designs, develops, and operates low-emission robots that serve people in public spaces with food delivery in the United States. It builds self-driving delivery robots. The company was formerly known as Patricia Acquisition Corp. and changed its name to Serve Robotics Inc in July 2023.

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