Serve Robotics (NASDAQ:SERV) Sees 10.6% Increase in Share Price - Is This a Good Time to Invest?

Serve Robotics Inc. (NASDAQ:SERV) experienced a significant gain in its share price, rising by 10.6% during trading on Friday. The stock reached a high of $18.07 before closing at $18.08. Throughout the day, a total of 4,385,751 shares were exchanged, marking a 64% decrease from the average volume of 12,254,454 shares. For context, the stock's previous close was at $16.34.

Wall Street Analysts Anticipate Growth

Several financial analysts have recently shared their perspectives on Serve Robotics. LADENBURG THALM/SH SH initiated coverage on October 28th, recommending a "buy" rating with a price target set at $16.00. Following this, Northland Securities raised their price target for Serve Robotics from $16.00 to $23.00, assigning the stock an "outperform" rating on January 15th. Furthermore, Northland Capital upgraded Serve Robotics to a "strong-buy" rating on October 18th. Seaport Res Ptn echoed this sentiment with another "strong-buy" rating on October 7th. Currently, two analysts recommend buying the stock, while three have given it a strong buy rating. According to MarketBeat.com, the consensus rating remains "Strong Buy," alongside a mean price target of $19.50.

Recent Performance of Serve Robotics

As of now, Serve Robotics has a 50-day moving average value of $14.58 and a 200-day moving average of $11.27. The company reported its quarterly earnings on November 7th, presenting earnings per share of ($0.20), which aligned with analysts' expectations. The return on equity for Serve Robotics stood at a negative 184.60%, alongside a staggering negative net margin of 1,972.12%. Revenue for the quarter totaled $0.22 million, trailing the consensus estimate of $0.36 million. Looking forward, analysts forecast that Serve Robotics Inc. will have an EPS of -0.98 for this year.

Insider Transactions

In other corporate developments, Director James Buckly Jordan sold 64,408 shares of Serve Robotics on November 21st for an average price of $8.57, resulting in a transaction value of $551,976.56. Post-sale, his stakes have decreased by 12.54%, leaving him with 449,052 shares valued at approximately $3.8 million. Additionally, CEO Ali Kashani sold 37,500 shares on January 6th at an average price of $21.16 for a total of $793,500. Following these transactions, Kashani holds 3,230,990 shares, valued around $68.37 million, having reduced his stakes by 1.15%. Over the past ninety days, insiders have collectively sold 253,027 shares worth $3.31 million, suggesting that company insiders own 21.40% of the stock.

Institutional Investments in Serve Robotics

Recent institutional trading data indicates that several large investors have adjusted their holdings in Serve Robotics. Bfsg LLC took a new position in the company worth $38,000 during the third quarter. Harbour Capital Advisors LLC also established a new position valued at approximately $198,000. Yong Rong HK Asset Management Ltd acquired shares worth $9.64 million, Quantum Private Wealth LLC invested about $80,000, and GSA Capital Partners LLP added a stake worth $152,000.

About Serve Robotics

Serve Robotics Inc. specializes in designing, developing, and operating low-emission robots intended for food delivery in public spaces across the United States. The company was previously known as Patricia Acquisition Corp. and rebranded as Serve Robotics Inc. in July 2023.

Conclusion: Is It Time to Invest in Serve Robotics?

With shares recently rising by over 10% and a generally favorable outlook from analysts, potential investors might be considering whether it is an opportune moment to invest in Serve Robotics. Despite the positive ratings, MarketBeat has pointed out that other stocks may offer better returns than Serve Robotics at this time.

investment, stock, NASDAQ