Serve Robotics (NASDAQ:SERV) Stock Price Down 9.7% - Here's Why

Key Points

• Serve Robotics' stock price dropped by 9.7% to $10.03 on Tuesday, with trading volume declining by 60% compared to its average session volume.
• Analysts have mixed reviews on the stock with a consensus rating of "Buy" and an average price target of $17.75, while some firms, like Seaport Res Ptn, have downgraded it to "hold."
• Recent earnings reports showed Serve Robotics reported a loss of ($0.36) EPS, missing estimates, despite slightly exceeding revenue expectations at $0.64 million.

Serve Robotics Inc. (NASDAQ:SERV - Get Free Report)'s share price traded down 9.7% during trading on Tuesday . The company traded as low as $10.05 and last traded at $10.03. 2,856,515 shares were traded during mid-day trading, a decline of 60% from the average session volume of 7,135,778 shares. The stock had previously closed at $11.10.

Analysts Set New Price Targets

SERV has been the topic of a number of recent research reports. Cantor Fitzgerald initiated coverage on shares of Serve Robotics in a research note on Thursday, May 22nd. They issued an "overweight" rating on the stock. Wedbush began coverage on shares of Serve Robotics in a research report on Wednesday, August 27th. They issued an "outperform" rating and a $15.00 target price on the stock. Seaport Res Ptn lowered Serve Robotics from a "strong-buy" rating to a "hold" rating in a research report on Monday, August 11th. Finally, Singular Research raised Serve Robotics to a "moderate buy" rating in a research 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 assigned a Hold rating to the stock. According to MarketBeat.com, Serve Robotics has a consensus rating of "Buy" and an average price target of $17.75.

Serve Robotics Price Performance

The business has a fifty day moving average of $10.67 and a 200-day moving average of $9.28. The stock has a market cap of $605.09 million, a PE ratio of -8.79 and a beta of -0.16.

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

Insider Buying and Selling

In related news, General Counsel Evan Dunn sold 5,000 shares of Serve Robotics stock in a transaction that occurred on Monday, August 25th. The stock was sold at an average price of $10.01, for a total transaction of $50,050.00. Following the transaction, the general counsel owned 230,767 shares in the company, valued at approximately $2,309,977.67. This trade represents a 2.12% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Brian Read sold 10,216 shares of Serve Robotics stock in a transaction that occurred on Monday, August 25th. The shares were sold at an average price of $9.82, for a total transaction of $100,321.12. Following the sale, the chief financial officer directly owned 373,263 shares in the company, valued at approximately $3,665,442.66. The trade was a 2.66% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 53,103 shares of company stock worth $558,253 in the last quarter. 21.40% of the stock is owned by insiders.

Hedge Funds Weigh In On Serve Robotics

Hedge funds and other institutional investors have recently bought and sold shares of the company. Exchange Traded Concepts LLC raised its stake in Serve Robotics by 12.9% in the second quarter. Exchange Traded Concepts LLC now owns 996,283 shares of the company's stock valued at $11,397,000 after buying an additional 113,761 shares in the last quarter. Geode Capital Management LLC boosted its position in Serve Robotics by 176.0% during the 2nd quarter. Geode Capital Management LLC now owns 878,668 shares of the company's stock worth $10,054,000 after purchasing an additional 560,361 shares during the period. Capital Fund Management S.A. acquired a new position in shares of Serve Robotics during the first quarter worth $4,244,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Serve Robotics by 6.3% in the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 721,826 shares of the company's stock valued at $8,258,000 after purchasing an additional 42,812 shares during the last quarter. Finally, Legal & General Group Plc raised its holdings in Serve Robotics by 14.9% in the second quarter. Legal & General Group Plc now owns 693,929 shares of the company's stock valued at $7,261,000 after acquiring an additional 89,809 shares in the last quarter.

Serve Robotics Company Profile

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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