Recursion Pharmaceuticals (NASDAQ:RXRX) Shares Down 5.3% on Disappointing Earnings

Shares of Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) dropped 5.3% on Monday following a dissappointing earnings announcement. The company traded as low as $7.07 and last traded at $7.11. Approximately 8,143,605 shares traded hands during trading, a decline of 68% from the average daily volume of 25,618,289 shares. The stock had previously closed at $7.51.

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

Wall Street Analysts Forecast Growth

RXRX has been the topic of a number of recent analyst reports. Needham & Company LLC reissued a “buy” rating and issued a $11.00 price target on shares of Recursion Pharmaceuticals in a report on Thursday, February 6th. KeyCorp lowered their target price 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. 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. Finally, Cowen restated a “hold” rating on shares of Recursion Pharmaceuticals in a research report on Friday. Three equities research analysts have rated the stock with a hold rating and two have given a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $8.25.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the business. Allspring Global Investments Holdings LLC purchased a new stake in shares of Recursion Pharmaceuticals in the third quarter worth $25,000. Decker Retirement Planning Inc. bought a new position in Recursion Pharmaceuticals in the 4th quarter worth about $26,000. Private Trust Co. NA purchased a new stake in Recursion Pharmaceuticals during the 4th quarter valued at about $27,000. GAMMA Investing LLC increased its stake in Recursion Pharmaceuticals by 1,979.2% during the 4th 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. Finally, Farther Finance Advisors LLC raised its holdings in Recursion Pharmaceuticals by 176.9% in the third quarter. Farther Finance Advisors LLC now owns 6,404 shares of the company’s stock worth $42,000 after buying an additional 4,091 shares during the last quarter. 89.06% of the stock is owned by hedge funds and other institutional investors.

Recursion Pharmaceuticals Trading Down 12.3 %

The firm’s 50 day moving average price is $7.71 and its 200-day moving average price is $7.09. The company has a debt-to-equity ratio of 0.04, a current ratio of 4.35 and a quick ratio of 4.35. The stock has a market cap of $2.57 billion, a P/E ratio of -4.31 and a beta of 0.86.

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.