Recursion Pharmaceuticals Operating Margin vs. Number Of Shares Shorted

RXRX Stock  USD 6.95  0.03  0.43%   
Based on Recursion Pharmaceuticals' profitability indicators, Recursion Pharmaceuticals may not be well positioned to generate adequate gross income at this time. It has a very high odds of underperforming in January. Profitability indicators assess Recursion Pharmaceuticals' ability to earn profits and add value for shareholders.

Recursion Pharmaceuticals Operating Profit Margin

(8.25)

Price To Sales Ratio is likely to drop to 43.68 in 2024. Days Sales Outstanding is likely to drop to 24.07 in 2024. At this time, Recursion Pharmaceuticals' Accumulated Other Comprehensive Income is fairly stable compared to the past year. Net Interest Income is likely to rise to about 19.1 M in 2024, despite the fact that Operating Income is likely to grow to (332.6 M).
For Recursion Pharmaceuticals profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Recursion Pharmaceuticals to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Recursion Pharmaceuticals utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Recursion Pharmaceuticals's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Recursion Pharmaceuticals over time as well as its relative position and ranking within its peers.
  
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Is Biotechnology space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Recursion Pharmaceuticals. If investors know Recursion will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Recursion Pharmaceuticals listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(1.54)
Revenue Per Share
0.265
Quarterly Revenue Growth
1.476
Return On Assets
(0.36)
Return On Equity
(0.78)
The market value of Recursion Pharmaceuticals is measured differently than its book value, which is the value of Recursion that is recorded on the company's balance sheet. Investors also form their own opinion of Recursion Pharmaceuticals' value that differs from its market value or its book value, called intrinsic value, which is Recursion Pharmaceuticals' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Recursion Pharmaceuticals' market value can be influenced by many factors that don't directly affect Recursion Pharmaceuticals' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Recursion Pharmaceuticals' value and its price as these two are different measures arrived at by different means. Investors typically determine if Recursion Pharmaceuticals is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Recursion Pharmaceuticals' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Recursion Pharmaceuticals Number Of Shares Shorted vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Recursion Pharmaceuticals's current stock value. Our valuation model uses many indicators to compare Recursion Pharmaceuticals value to that of its competitors to determine the firm's financial worth.
Recursion Pharmaceuticals is rated third in operating margin category among its peers. It is currently regarded as top stock in number of shares shorted category among its peers . At this time, Recursion Pharmaceuticals' Operating Profit Margin is fairly stable compared to the past year. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Recursion Pharmaceuticals' earnings, one of the primary drivers of an investment's value.

Recursion Number Of Shares Shorted vs. Operating Margin

Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Recursion Pharmaceuticals

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
(3.77) %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Number of Shares Shorted is the total amount of shares that are currently sold short by investors. When a stock is sold short, the short seller assumes the responsibility of repurchasing the stock at a lower price. The speculator will make money if the stock goes down in price or will experience a loss if the stock price goes up.

Recursion Pharmaceuticals

Shares Shorted

 = 

Shorted by Public

+

by Institutions

 = 
67.85 M
If a large number of investors decide to short sell an equity instrument within a small period of time, their combined action can significantly affect the price of the stock.

Recursion Number Of Shares Shorted Comparison

Recursion Pharmaceuticals is currently under evaluation in number of shares shorted category among its peers.

Recursion Pharmaceuticals Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Recursion Pharmaceuticals, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Recursion Pharmaceuticals will eventually generate negative long term returns. The profitability progress is the general direction of Recursion Pharmaceuticals' change in net profit over the period of time. It can combine multiple indicators of Recursion Pharmaceuticals, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Net Interest Income18.2 M19.1 M
Interest Income18.3 M19.2 M
Operating Income-350.1 M-332.6 M
Net Loss-292.6 M-277.9 M
Income Before Tax-332.1 M-315.5 M
Total Other Income Expense Net17.9 M18.8 M
Net Loss-215.5 M-226.3 M
Net Loss-328.1 M-311.7 M
Income Tax Expense-4.1 M-3.9 M
Non Operating Income Net Other-3.3 M-3.5 M
Change To Netincome45.2 M47.4 M
Net Loss(1.58)(1.66)
Income Quality 0.88  0.77 
Net Income Per E B T 0.99  1.09 

Recursion Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Recursion Pharmaceuticals. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Recursion Pharmaceuticals position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Recursion Pharmaceuticals' important profitability drivers and their relationship over time.

Use Recursion Pharmaceuticals in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Recursion Pharmaceuticals position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Recursion Pharmaceuticals will appreciate offsetting losses from the drop in the long position's value.

Recursion Pharmaceuticals Pair Trading

Recursion Pharmaceuticals Pair Trading Analysis

The ability to find closely correlated positions to Recursion Pharmaceuticals could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Recursion Pharmaceuticals when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Recursion Pharmaceuticals - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Recursion Pharmaceuticals to buy it.
The correlation of Recursion Pharmaceuticals is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Recursion Pharmaceuticals moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Recursion Pharmaceuticals moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Recursion Pharmaceuticals can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Recursion Pharmaceuticals position

In addition to having Recursion Pharmaceuticals in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Construction
Construction Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Construction theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Construction Theme or any other thematic opportunities.
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Additional Tools for Recursion Stock Analysis

When running Recursion Pharmaceuticals' price analysis, check to measure Recursion Pharmaceuticals' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Recursion Pharmaceuticals is operating at the current time. Most of Recursion Pharmaceuticals' value examination focuses on studying past and present price action to predict the probability of Recursion Pharmaceuticals' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Recursion Pharmaceuticals' price. Additionally, you may evaluate how the addition of Recursion Pharmaceuticals to your portfolios can decrease your overall portfolio volatility.