Recursion Pharmaceuticals (NASDAQ:RXRX) Stock Price Down 5.4% After Earnings Miss

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) shares dropped 5.4% on Tuesday after the company announced weaker than expected quarterly earnings. The stock traded as low as $4.45 and last traded at $4.51. Approximately 7,052,787 shares traded hands during trading, a decline of 44% from the average daily volume of 12,553,666 shares. The stock had previously closed at $4.76.

The company reported ($0.50) earnings per share 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 analyst estimates of $18.12 million. Recursion Pharmaceuticals had a negative net margin of 579.52% and a negative return on equity of 76.56%. Recursion Pharmaceuticals’s revenue was up 7.2% on a year-over-year basis. During the same quarter last year, the firm posted ($0.39) earnings per share.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on RXRX shares. Cowen restated a “hold” rating on shares of Recursion Pharmaceuticals in a research report on Friday, February 28th. Needham & Company LLC cut their price objective on Recursion Pharmaceuticals from $11.00 to $8.00 and set a “buy” rating for the company in a report on Tuesday. Morgan Stanley lowered their target price on shares of Recursion Pharmaceuticals from $10.00 to $8.00 and set an “equal weight” rating on the stock in a report on Thursday, April 10th. Leerink Partners cut their price target on shares of Recursion Pharmaceuticals from $7.00 to $6.00 and set a “market perform” rating for the company in a report on Friday, February 28th. Finally, KeyCorp decreased their price objective on shares of Recursion Pharmaceuticals from $12.00 to $10.00 and set an “overweight” rating on the stock in a research note on Wednesday, January 8th. Four investment analysts have rated the stock with a hold rating and two have given a buy rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $7.60.

Institutional Trading of Recursion Pharmaceuticals

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

Recursion Pharmaceuticals Price Performance

The stock has a 50-day simple moving average of $5.68 and a 200 day simple moving average of $6.71. The stock has a market capitalization of $1.67 billion, a P/E ratio of -2.72 and a beta of 0.99. The company has a debt-to-equity ratio of 0.04, a quick ratio of 4.35 and a current ratio of 4.35.

About Recursion Pharmaceuticals

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.