Serve Robotics (NASDAQ:SERV) Trading Down 6.8% - Should You Sell?

Key Points

• Serve Robotics Inc. saw its stock price decline by 6.8%, trading at $13.91 after previously closing at $14.93.
• Analysts rate SERV with an average consensus of "Moderate Buy", facing mixed revisions including a "sell (d-)" rating from Weiss Ratings and a target price of $15.00 from Wedbush.
• In recent insider transactions, CFO Brian Read and another insider sold shares, with total insider sales in the last ninety days reaching 325,233 shares worth approximately $3.5 million.

Serve Robotics Inc. (NASDAQ:SERV - Get Free Report)'s stock price dropped 6.8% during mid-day trading on Tuesday . The stock traded as low as $13.68 and last traded at $13.91. Approximately 12,474,726 shares changed hands during trading, an increase of 64% from the average daily volume of 7,586,480 shares. The stock had previously closed at $14.93.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on SERV shares. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Serve Robotics in a research report on Saturday, September 27th. Wedbush started coverage on shares of Serve Robotics in a research note on Wednesday, August 27th. They set an "outperform" rating and a $15.00 target price on the stock. Seaport Res Ptn cut Serve Robotics from a "strong-buy" rating to a "hold" rating in a report on Monday, August 11th. Finally, Singular Research raised Serve Robotics to a "moderate buy" rating in a research note on Tuesday, August 26th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $17.75.

Serve Robotics Trading Down 4.7%

The business has a 50-day moving average price of $11.11 and a 200 day moving average price of $9.79. The stock has a market capitalization of $852.09 million, a P/E ratio of -12.37 and a beta of -0.70.

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

Insider Transactions at Serve Robotics

In related news, CFO Brian Read sold 3,941 shares of the business's stock in a transaction on Thursday, September 18th. The stock was sold at an average price of $12.70, for a total transaction of $50,050.70. Following the completion of the transaction, the chief financial officer owned 356,498 shares in the company, valued at $4,527,524.60. The trade was a 1.09% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Euan Abraham sold 25,000 shares of the business's stock in a transaction on Friday, September 19th. The shares were sold at an average price of $14.99, for a total transaction of $374,750.00. Following the sale, the insider directly owned 227,019 shares of the company's stock, valued at $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. In the last ninety days, insiders have sold 325,233 shares of company stock worth $3,532,528. 21.40% of the stock is currently owned by insiders.

Institutional Trading of Serve Robotics

Several institutional investors and hedge funds have recently made changes to their positions in the company. Charles Schwab Investment Management Inc. lifted its position in shares of Serve Robotics by 13.8% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 12,728 shares of the company's stock worth $73,000 after purchasing an additional 1,545 shares during the period. Creative Planning boosted its position in Serve Robotics by 25.9% during the 2nd quarter. Creative Planning now owns 12,923 shares of the company's stock valued at $148,000 after acquiring an additional 2,655 shares in the last quarter. Allworth Financial LP increased its holdings in shares of Serve Robotics by 316.7% in the 2nd quarter. Allworth Financial LP now owns 3,900 shares of the company's stock valued at $45,000 after acquiring an additional 2,964 shares during the period. Brevan Howard Capital Management LP raised its position in shares of Serve Robotics by 34.6% in the 2nd quarter. Brevan Howard Capital Management LP now owns 14,400 shares of the company's stock worth $165,000 after acquiring an additional 3,699 shares in the last quarter. Finally, PFG Investments LLC lifted its stake in shares of Serve Robotics by 12.3% during the 1st quarter. PFG Investments LLC now owns 36,498 shares of the company's stock worth $210,000 after purchasing an additional 4,000 shares during the last quarter.

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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