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Why Recursion Pharmaceuticals (RXRX) Dipped More Than Broader Market Today

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Recursion Pharmaceuticals (RXRX - Free Report) closed the most recent trading day at $5.95, moving -5.71% from the previous trading session. This change lagged the S&P 500's 0.3% loss on the day. On the other hand, the Dow registered a loss of 0.46%, and the technology-centric Nasdaq decreased by 0.38%.

Heading into today, shares of the biotechnology company had gained 24.7% over the past month, outpacing the Medical sector's gain of 0.76% and the S&P 500's gain of 3.64%.

The investment community will be closely monitoring the performance of Recursion Pharmaceuticals in its forthcoming earnings report. In that report, analysts expect Recursion Pharmaceuticals to post earnings of -$0.35 per share. This would mark year-over-year growth of 12.5%. In the meantime, our current consensus estimate forecasts the revenue to be $14.38 million, indicating a 0.3% decline compared to the corresponding quarter of the prior year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of -$1.35 per share and revenue of $68.39 million, indicating changes of +20.12% and +16.23%, respectively, compared to the previous year.

Any recent changes to analyst estimates for Recursion Pharmaceuticals should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.75% lower. Right now, Recursion Pharmaceuticals possesses a Zacks Rank of #3 (Hold).

The Medical - Biomedical and Genetics industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 92, positioning it in the top 38% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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