Recursion Pharmaceuticals (NASDAQ:RXRX) Trading Down 9.6% on Disappointing Earnings

Shares of Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) were down 9.6% on Monday after the company announced weaker than expected quarterly earnings. The company traded as low as $5.23 and last traded at $5.16. Approximately 9,031,494 shares traded hands during trading, a decline of 28% from the average daily volume of 12,478,559 shares. The stock had previously closed at $5.70.

The company reported ($0.50) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.44) by ($0.06). The business had revenue of $14.75 million for the quarter, compared to analysts’ expectations of $18.12 million. Recursion Pharmaceuticals had a negative net margin of 579.52% and a negative return on equity of 76.56%. The company’s revenue for the quarter was up 7.2% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.39) earnings per share.

Wall Street Analyst Weigh In

RXRX has been the subject of a number of analyst reports. Needham & Company LLC reaffirmed a “buy” rating and issued a $11.00 price target on shares of Recursion Pharmaceuticals in a report on Tuesday, April 8th. KeyCorp lowered their price target on shares of Recursion Pharmaceuticals from $12.00 to $10.00 and set an “overweight” rating on the stock in a report on Wednesday, January 8th. Morgan Stanley reduced their price objective on shares of Recursion Pharmaceuticals from $10.00 to $8.00 and set an “equal weight” rating for the company in a research note on Thursday, April 10th. Cowen reissued a “hold” rating on shares of Recursion Pharmaceuticals in a report on Friday, February 28th. Finally, Leerink Partners decreased their price target on shares of Recursion Pharmaceuticals from $7.00 to $6.00 and set a “market perform” rating on the stock in a report on Friday, February 28th. Four investment analysts have rated the stock with a hold rating and two have assigned a buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $8.20.

Institutional Investors Weigh In On Recursion Pharmaceuticals

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Decker Retirement Planning Inc. purchased a new position in Recursion Pharmaceuticals in the fourth quarter worth $26,000. Private Trust Co. NA purchased a new position in shares of Recursion Pharmaceuticals during the 4th quarter valued at about $27,000. GAMMA Investing LLC lifted its position in Recursion Pharmaceuticals by 1,979.2% in the 4th quarter. GAMMA Investing LLC now owns 5,198 shares of the company’s stock worth $35,000 after buying an additional 4,948 shares during the last quarter. Farther Finance Advisors LLC boosted its stake in shares of Recursion Pharmaceuticals by 21.1% in the 4th quarter. Farther Finance Advisors LLC now owns 7,757 shares of the company’s stock valued at $52,000 after purchasing an additional 1,353 shares in the last quarter. Finally, NewEdge Advisors LLC grew its holdings in shares of Recursion Pharmaceuticals by 43.7% during the 4th quarter. NewEdge Advisors LLC now owns 7,847 shares of the company’s stock valued at $53,000 after purchasing an additional 2,387 shares during the last quarter. 89.06% of the stock is owned by hedge funds and other institutional investors.

Recursion Pharmaceuticals Stock Performance

The company has a debt-to-equity ratio of 0.04, a quick ratio of 4.35 and a current ratio of 4.35. The company has a market cap of $1.91 billion, a PE ratio of -3.11 and a beta of 0.99. The business’s 50-day moving average is $5.75 and its 200 day moving average is $6.73.

Recursion Pharmaceuticals Company Profile

Recursion Pharmaceuticals, Inc operates as a clinical-stage biotechnology company, engages in the decoding biology by integrating technological innovations across biology, chemistry, automation, data science, and engineering to industrialize drug discovery. The company develops REC-994, which is in Phase 2 clinical trial to treat cerebral cavernous malformation; REC-2282, which is in Phase 2/3 clinical trial for the treatment of neurofibromatosis type 2; REC-4881, which is in Phase 1b/2 clinical trial to treat familial adenomatous polyposis; REC-3964, which is in Phase 1 clinical trial to treat Clostridioides difficile infection; and REC-4881, which is in Phase 2 clinical trial to treat AXIN1 or APC mutant cancers.