Recursion Pharmaceuticals (NASDAQ:RXRX) Trading Up 4.6% - What's Next?

Shares of Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX - Get Free Report) rose by 4.6% on Friday, reaching a high of $6.20 and closing at $6.22. During midday trading, approximately 4,144,273 shares were exchanged, indicating a significant drop of 60% from the average daily volume of 10,307,810 shares. This follows a previous closing at $5.94.

Analysts Set New Price Targets

Recent reports from various equity analysts have shed light on the status of RXRX shares. Cowen reaffirmed a "hold" rating in a research note on February 28th. KeyCorp reduced their target price from $12.00 to $10.00 while maintaining an "overweight" rating as of January 8th. Needham & Company LLC also expressed optimism with a "buy" rating and a price target of $11.00 in a report dated February 6th. In contrast, Leerink Partners lowered their price target from $7.00 to $6.00, advocating a "market perform" rating. Currently, three analysts recommend holding the stock, while two suggest buying, resulting in a consensus "Hold" rating with an average price target of $8.25 according to MarketBeat.com.

Recursion Pharmaceuticals Price Performance

Recursion Pharmaceuticals now boasts a market capitalization of $2.55 billion, with a price-to-earnings (P/E) ratio of -4.15 and a beta of 0.85. The stock's performance has shown a 50-day simple moving average of $7.57 and a 200-day simple moving average of $7.03. Financial ratios indicate a current ratio and quick ratio of 4.35 each, alongside a debt-to-equity ratio of 0.04.

On February 28th, the company reported its earnings results, revealing an earnings per share (EPS) of ($0.53), which fell short of the expected ($0.36) by ($0.17). The revenue for the quarter stood at $4.60 million, significantly below the consensus estimate of $19.04 million. Recursion Pharmaceuticals' net margin was notably negative at 579.52%, and the return on equity (ROE) was also negative at 76.56%. Year-over-year comparisons show a troubling revenue decrease of 57.8%, as last year’s EPS was ($0.42). Analysts predict that Recursion Pharmaceuticals will see an EPS of -1.57 this year.

Institutional Investors Weigh In On Recursion Pharmaceuticals

In recent months, several hedge funds have adjusted their positions in Recursion Pharmaceuticals. Vanguard Group Inc. increased its holdings by 40.1% in the fourth quarter, owning 34,009,994 shares valued at approximately $229.9 million after acquiring an additional 9,737,196 shares. Softbank Group CORP. also made a new investment in the fourth quarter, worth around $99.15 million. Moreover, State Street Corp added 47.1% to their stake in the third quarter, accumulating 12,870,272 shares valued at approximately $84.82 million. Novo Holdings A S invested in Recursion Pharmaceuticals, totaling $68.38 million, while FMR LLC increased its stake by 2.1% in the third quarter, now owning 8,363,530 shares valued at about $55.12 million. Notably, institutional investors and hedge funds control 89.06% of the company’s stock.

Recursion Pharmaceuticals Company Profile

Recursion Pharmaceuticals, Inc. operates as a clinical-stage biotechnology firm focused on decoding biological processes through innovative applications in biology, chemistry, automation, data science, and engineering aimed at revolutionizing drug discovery. The firm is advancing several clinical candidates: REC-994, in Phase 2 trials targeting cerebral cavernous malformation; REC-2282, currently in Phase 2/3 for neurofibromatosis type 2; REC-4881, in Phase 1b/2 for familial adenomatous polyposis; REC-3964, in Phase 1 for treating Clostridioides difficile infection; and REC-4881, also in Phase 2 aiming at AXIN1 or APC mutant cancers.

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This article was created using automated technology and financial data to provide timely and accurate information.

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Recursion, Pharmaceuticals, Investing