Serve Robotics (NASDAQ:SERV) Shares Gap Up - Is It Time to Buy?

Serve Robotics Inc. (NASDAQ:SERV) experienced a notable surge in its share price before the market opened on Wednesday. The stock, which had previously closed at $11.82, opened significantly higher at $13.19. As of the latest trading, Serve Robotics shares were priced at $12.92, with a substantial trading volume of 7,444,405 shares.

Recent Analyst Ratings

Serve Robotics has recently been in the spotlight of various research reports. In a report dated January 15th, Northland Securities raised its price target for Serve Robotics from $16.00 to $23.00, while also assigning the company an "outperform" rating. Additionally, LADENBURG THALM/SH SH initiated coverage of Serve Robotics on October 28th, providing a "buy" rating along with a $16.00 price target. Currently, two analysts have rated the stock as a buy while three analysts have given it a strong buy rating. According to MarketBeat data, Serve Robotics holds a consensus rating of "Strong Buy" with an average price target of $19.50.

Stock Performance Overview

Serve Robotics saw its stock trading up by 16% recently. The company is currently trading below its fifty-day moving average of $16.52 and its two-hundred-day moving average of $11.92.

Insider Transactions

In related news, Touraj Parang, the Chief Operating Officer (COO) of Serve Robotics, sold 50,000 shares of the company’s stock on December 9th at an average price of $12.99, which amounted to approximately $649,500. Following this sale, the COO's total holdings reduced to 1,163,439 shares, valued around $15,113,072.61, reflecting a 4.12% decrease in ownership. Additionally, Director James Buckly Jordan sold 64,408 shares of the stock on November 21st at an average price of $8.57, totaling nearly $551,977. After this sale, the director now owns 449,052 shares at an estimated value of $3,848,375.64, marking a 12.54% decrease in ownership. Over the last 90 days, insiders collectively sold 251,555 shares valued at $3,297,405, representing that insiders hold 21.40% of the stock.

Institutional Investors Activity

On the institutional side, several hedge funds and investors have taken interest in Serve Robotics. Larson Financial Group LLC made a new investment in Serve Robotics during the third quarter, valued at around $26,000. Other investments include Blue Trust Inc., CIBC Private Wealth Group LLC, and several others, with amounts ranging from $27,000 to $68,000. This influx of institutional investment indicates growing interest in Serve Robotics.

Company Overview

Serve Robotics Inc specializes in designing and operating low-emission robots focused on food delivery in public spaces across the United States. The company develops self-driving delivery robots, originally known as Patricia Acquisition Corp, but rebranded to Serve Robotics Inc in July 2023.

Conclusion

With a current strong buy rating and positive analyst outlook, as well as significant insider and institutional movements, investors may be evaluating whether it’s a good time to buy shares of Serve Robotics or consider other potential investments.

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