Recursion Pharmaceuticals (NASDAQ:RXRX) Shares Gap Up After Strong Earnings

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX)’s share price gapped up before the market opened on Friday after the company announced better than expected quarterly earnings. The stock had previously closed at $8.64, but opened at $9.05. Recursion Pharmaceuticals shares last traded at $8.67, with a volume of 2,127,409 shares.

The company reported ($0.39) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.43) by $0.04. Recursion Pharmaceuticals had a negative return on equity of 72.88% and a negative net margin of 735.99%. The company had revenue of $13.80 million during the quarter, compared to analysts’ expectations of $11.10 million. During the same period last year, the firm posted ($0.34) earnings per share. The business’s revenue was up 14.0% on a year-over-year basis.

Analyst Ratings Changes

Several analysts have weighed in on the company. KeyCorp lifted their price objective on Recursion Pharmaceuticals from $15.00 to $16.00 and gave the company an “overweight” rating in a research report on Monday, March 4th. TD Cowen began coverage on shares of Recursion Pharmaceuticals in a research report on Friday, January 26th. They set a “market perform” rating on the stock. Finally, Needham & Company LLC restated a “buy” rating and issued a $17.00 target price on shares of Recursion Pharmaceuticals in a research note on Friday. Three equities research analysts have rated the stock with a hold rating and two have issued a buy rating to the company’s stock. According to data from MarketBeat, Recursion Pharmaceuticals has an average rating of “Hold” and a consensus price target of $12.75.

Insider Buying and Selling

In related news, COO Tina Marriott sold 8,000 shares of the business’s stock in a transaction on Thursday, February 22nd. The stock was sold at an average price of $14.89, for a total transaction of $119,120.00. Following the sale, the chief operating officer now directly owns 639,982 shares in the company, valued at approximately $9,529,331.98. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. In related news, Director Blake Borgeson sold 20,054 shares of the company’s stock in a transaction on Tuesday, February 20th. The stock was sold at an average price of $12.32, for a total value of $247,065.28. Following the transaction, the director now directly owns 7,292,863 shares of the company’s stock, valued at approximately $89,848,072.16. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, COO Tina Marriott sold 8,000 shares of the firm’s stock in a transaction that occurred on Thursday, February 22nd. The stock was sold at an average price of $14.89, for a total transaction of $119,120.00. Following the sale, the chief operating officer now owns 639,982 shares of the company’s stock, valued at approximately $9,529,331.98. The disclosure for this sale can be found here. Insiders sold a total of 352,946 shares of company stock worth $3,485,453 over the last three months. 15.75% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. ARK Investment Management LLC raised its stake in shares of Recursion Pharmaceuticals by 200.4% in the 4th quarter. ARK Investment Management LLC now owns 20,654,287 shares of the company’s stock valued at $203,651,000 after acquiring an additional 13,777,689 shares during the period. Mubadala Investment Co PJSC purchased a new position in Recursion Pharmaceuticals during the fourth quarter valued at approximately $128,041,000. FMR LLC grew its position in Recursion Pharmaceuticals by 134.4% in the third quarter. FMR LLC now owns 10,689,532 shares of the company’s stock worth $81,775,000 after acquiring an additional 6,129,935 shares in the last quarter. Sumitomo Mitsui Trust Holdings Inc. lifted its stake in shares of Recursion Pharmaceuticals by 161.2% in the fourth quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 9,203,780 shares of the company’s stock worth $90,749,000 after buying an additional 5,680,656 shares during the last quarter. Finally, Nikko Asset Management Americas Inc. raised its stake in Recursion Pharmaceuticals by 161.2% during the 4th quarter. Nikko Asset Management Americas Inc. now owns 9,203,780 shares of the company’s stock valued at $90,565,000 after purchasing an additional 5,680,656 shares during the last quarter. 89.06% of the stock is currently owned by institutional investors and hedge funds.

Recursion Pharmaceuticals Trading Down 3.0 %

The stock has a market cap of $1.97 billion, a P/E ratio of -5.57 and a beta of 0.85. The business’s fifty day simple moving average is $9.45 and its 200 day simple moving average is $9.25.

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.