Recursion Pharmaceuticals (NASDAQ:RXRX) Shares Gap Down After Earnings Miss

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX)’s stock price gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $7.67, but opened at $6.71. Recursion Pharmaceuticals shares last traded at $7.25, with a volume of 11,698,781 shares traded.

The company reported ($0.53) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.36) by ($0.17). The business had revenue of $4.60 million during the quarter, compared to the consensus estimate of $19.04 million. Recursion Pharmaceuticals had a negative net margin of 579.52% and a negative return on equity of 76.56%. The firm’s revenue was down 57.8% on a year-over-year basis. During the same quarter last year, the company posted ($0.42) EPS.

Analysts Set New Price Targets

Several research firms have weighed in on RXRX. KeyCorp lowered their price objective on Recursion Pharmaceuticals from $12.00 to $10.00 and set an “overweight” rating on the stock in a research report on Wednesday, January 8th. Cowen reiterated a “hold” rating on shares of Recursion Pharmaceuticals in a research report on Friday. Needham & Company LLC reiterated a “buy” rating and set a $11.00 price objective on shares of Recursion Pharmaceuticals in a research report on Thursday, February 6th. Finally, Leerink Partners lowered their price objective on Recursion Pharmaceuticals from $7.00 to $6.00 and set a “market perform” rating on the stock in a research report on Friday. Three investment analysts have rated the stock with a hold rating and two have given a buy rating to the stock. Based on data from MarketBeat.com, Recursion Pharmaceuticals has a consensus rating of “Hold” and an average price target of $8.25.

Institutional Trading of Recursion Pharmaceuticals

Several large investors have recently modified their holdings of the stock. Integrated Advisors Network LLC grew its holdings in shares of Recursion Pharmaceuticals by 36.8% during the 4th quarter. Integrated Advisors Network LLC now owns 17,588 shares of the company’s stock worth $119,000 after purchasing an additional 4,731 shares in the last quarter. GF Fund Management CO. LTD. acquired a new stake in Recursion Pharmaceuticals in the fourth quarter valued at about $54,000. CSS LLC IL acquired a new stake in Recursion Pharmaceuticals in the fourth quarter valued at about $366,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in Recursion Pharmaceuticals by 5.5% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,259,178 shares of the company’s stock valued at $15,272,000 after buying an additional 118,428 shares in the last quarter. Finally, Vident Advisory LLC acquired a new stake in Recursion Pharmaceuticals in the fourth quarter valued at about $80,000. 89.06% of the stock is owned by institutional investors and hedge funds.

Recursion Pharmaceuticals Stock Down 2.1 %

The firm has a 50 day moving average of $7.72 and a two-hundred day moving average of $7.08. The firm has a market capitalization of $2.93 billion, a price-to-earnings ratio of -4.91 and a beta of 0.86. The company has a quick ratio of 4.35, a current ratio of 4.35 and a debt-to-equity ratio of 0.04.

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.