Serve Robotics Shares Rise 2.8% - Should You Consider Buying?

Serve Robotics Inc. (NASDAQ:SERV) experienced a notable increase of 2.8% in its share price on Friday. The stock reached a high of $19.80 before settling at $19.41 by the end of trading. During the day, around 4,265,717 shares changed hands, which is a significant drop of 71% compared to its average daily volume of 14,871,010 shares. The previous close for the stock was $18.88.

Analysts Offer New Price Targets

Several financial research firms have recently provided updates regarding Serve Robotics. Northland Securities raised their price target from $16.00 to $23.00, assigning the stock an "outperform" rating in a report published on Wednesday. Additionally, LADENBURG THALM/SH SH started coverage of Serve Robotics on October 28, issuing a "buy" rating along with a $16.00 target price. On October 7, Seaport Res Partners upgraded the stock to a "strong-buy" rating, further supported by another upgrade from Northland Capital Markets on October 18. Currently, two analysts have rated the stock as a buy while three have assigned it a strong buy rating. According to MarketBeat, Serve Robotics holds an average rating categorized as "Strong Buy" with a consensus target price of $19.50.

Stock Performance and Moving Averages

Over the last period, Serve Robotics' stock has seen a slight decline of 0.6%. Its 50-day moving average stands at $12.73, while the 200-day moving average is $10.19.

Insider Trading Activity

Recent insider trading activities have also come to light. CEO Ali Kashani sold 9,719 shares of Serve Robotics on November 25 at an average price of $8.77, totaling $85,235.63. Following this sale, Kashani retains ownership of 3,355,238 shares, valued at about $29,425,437.26, reflecting a 0.29% decrease in his position. COO Touraj Parang similarly sold 50,000 shares at an average price of $12.99 on December 9, amounting to $649,500.00, reducing his ownership by 4.12% to 1,163,439 shares valued at approximately $15,113,072.61. In the last ninety days, insiders have sold 253,027 shares, totaling $3,309,166 in value, with corporate insiders owning 21.40% of the company's stock.

Institutional Investor Movements

Recently, institutional investors and hedge funds have adjusted their stakes in Serve Robotics. SG Americas Securities LLC purchased a new stake worth $114,000 in the fourth quarter. Atomi Financial Group Inc. also entered a new position valued at about $209,000 during the same period. Furthermore, Harbour Capital Advisors LLC expanded its holdings by 102.4%, now owning 50,365 shares after an additional purchase of 25,475 shares, valued at $680,000. Tidal Investments LLC, along with Geode Capital Management LLC, also acquired or expanded their positions in the stock during recent quarters, emphasizing a growing interest in Serve Robotics among institutional investors.

Company Overview

Serve Robotics Inc. is engaged in designing, developing, and operating low-emission robots for food delivery services in public areas across the United States. The company specializes in creating self-driving delivery robots. Founded as Patricia Acquisition Corp, it rebranded to Serve Robotics Inc in July 2023.

Conclusion

Considering the recent performance, analyst ratings, and insider activities, investors may want to evaluate whether it is the right time to buy shares of Serve Robotics. While the company's ratings are promising, it might be beneficial to compare them with other investment opportunities recommended by top analysts.

Potential Investment Considerations

If contemplating an investment of $1,000 in Serve Robotics, it is important to analyze current market sentiment and other recommended stocks that may offer better value. While analysts currently rate Serve Robotics as a "Strong Buy," there might be other stocks worth considering.

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