Recursion Pharmaceuticals (NASDAQ:RXRX) Trading Down 3.8% After Earnings Miss

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) shares were down 3.8% during trading on Friday following a weaker than expected earnings announcement. The company traded as low as $6.61 and last traded at $7.38. Approximately 19,725,110 shares were traded during trading, a decline of 23% from the average daily volume of 25,633,920 shares. The stock had previously closed at $7.67.

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

Wall Street Analysts Forecast Growth

Several analysts have issued reports on RXRX shares. Leerink Partners lowered their target price on shares of Recursion Pharmaceuticals from $7.00 to $6.00 and set a “market perform” rating on the stock in a research note on Friday. 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. Cowen restated a “hold” rating on shares of Recursion Pharmaceuticals in a research report on Friday. Finally, Needham & Company LLC restated a “buy” rating and set a $11.00 price objective on shares of Recursion Pharmaceuticals in a research report on Thursday, February 6th. 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 MarketBeat, Recursion Pharmaceuticals currently has a consensus rating of “Hold” and an average target price of $8.25.

Institutional Trading of Recursion Pharmaceuticals

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Charles Schwab Investment Management Inc. grew its holdings in shares of Recursion Pharmaceuticals by 17.5% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 1,940,680 shares of the company’s stock valued at $12,789,000 after purchasing an additional 288,926 shares during the last quarter. Accel Wealth Management bought a new position in shares of Recursion Pharmaceuticals during the 4th quarter valued at $310,000. FMR LLC grew its holdings in shares of Recursion Pharmaceuticals by 2.1% during the 3rd quarter. FMR LLC now owns 8,363,530 shares of the company’s stock valued at $55,116,000 after purchasing an additional 170,810 shares during the last quarter. Avanza Fonder AB bought a new position in shares of Recursion Pharmaceuticals during the 4th quarter valued at $580,000. Finally, State Street Corp grew its holdings in shares of Recursion Pharmaceuticals by 47.1% during the 3rd quarter. State Street Corp now owns 12,870,272 shares of the company’s stock valued at $84,815,000 after purchasing an additional 4,120,685 shares during the last quarter. Hedge funds and other institutional investors own 89.06% of the company’s stock.

Recursion Pharmaceuticals Stock Performance

The company has a current ratio of 4.35, a quick ratio of 4.35 and a debt-to-equity ratio of 0.04. The company’s fifty day moving average is $7.72 and its 200 day moving average is $7.08. The company has a market cap of $2.93 billion, a P/E ratio of -4.91 and a beta of 0.86.

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.