Serve Robotics (NASDAQ:SERV) Trading Down 8.7% - Should You Sell?

Key Points

• Serve Robotics shares fell by 8.7% to $16.00, reflecting a decline in trade volume compared to average levels.
• Despite a recent downgrade from some analysts, the consensus remains a "Moderate Buy" with a price target of $18.50.
• Insider sales occurred recently, including significant shares sold by both the General Counsel and CEO, indicating potential fluctuations in ownership distribution.

Serve Robotics Inc. (NASDAQ:SERV - Get Free Report)'s share price traded down 8.7% on Thursday . The company traded as low as $16.24 and last traded at $16.00. 7,048,247 shares were traded during mid-day trading, a decline of 15% from the average session volume of 8,280,022 shares. The stock had previously closed at $17.51.

Wall Street Analysts Forecast Growth

SERV has been the topic of a number of recent analyst reports. Singular Research raised shares of Serve Robotics to a "moderate buy" rating in a research report on Tuesday, August 26th. Weiss Ratings reissued a "sell (d-)" rating on shares of Serve Robotics in a research report on Wednesday, October 8th. Wedbush began coverage on shares of Serve Robotics in a report on Wednesday, August 27th. They set an "outperform" rating and a $15.00 price objective on the stock. Citigroup restated an "outperform" rating on shares of Serve Robotics in a report on Monday. Finally, Seaport Res Ptn lowered shares of Serve Robotics from a "strong-buy" rating to a "hold" rating in a report on Monday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $18.50.

Serve Robotics Stock Performance

The firm has a market cap of $936.58 million, a P/E ratio of -13.59 and a beta of -0.70. The firm's fifty day moving average is $11.88 and its 200 day moving average is $10.18.

Serve Robotics (NASDAQ:SERV - Get Free Report) last posted its quarterly earnings data 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). The business had revenue of $0.64 million during 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%. As a group, equities research analysts forecast that Serve Robotics Inc. will post -0.98 EPS for the current year.

Insider Activity at Serve Robotics

In other news, General Counsel Evan Dunn sold 20,458 shares of the company's stock in a transaction that occurred on Tuesday, October 7th. The shares were sold at an average price of $15.09, for a total transaction of $308,711.22. Following the completion of the sale, the general counsel owned 210,309 shares of the company's stock, valued at approximately $3,173,562.81. This represents a 8.87% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Ali Kashani sold 12,930 shares of the company's stock in a transaction that occurred on Tuesday, October 7th. The stock was sold at an average price of $15.08, for a total transaction of $194,984.40. Following the transaction, the chief executive officer owned 3,421,072 shares of the company's stock, valued at approximately $51,589,765.76. This represents a 0.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 365,102 shares of company stock worth $4,134,977 in the last 90 days. Corporate insiders own 5.50% of the company's stock.

Hedge Funds Weigh In On Serve Robotics

A number of institutional investors have recently added to or reduced their stakes in SERV. Farther Finance Advisors LLC acquired a new position in Serve Robotics during the 3rd quarter worth approximately $27,000. Allworth Financial LP increased its position in Serve Robotics by 316.7% during the 2nd quarter. Allworth Financial LP now owns 3,900 shares of the company's stock worth $45,000 after purchasing an additional 2,964 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. acquired a new position in Serve Robotics during the 1st quarter worth approximately $49,000. KLP Kapitalforvaltning AS acquired a new position in Serve Robotics during the 1st quarter worth approximately $49,000. Finally, Ameritas Investment Partners Inc. acquired a new position in Serve Robotics in the 2nd quarter valued at approximately $55,000.

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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