Serve Robotics (NASDAQ:SERV) Posts Quarterly Earnings Results

08 May 2026, 18:32 by Renee Jackson · The Cerbat Gem

Serve Robotics (NASDAQ:SERV – Get Free Report) issued its earnings results on Thursday. The company reported ($0.65) earnings per share for the quarter, missing the consensus estimate of ($0.57) by ($0.08), Zacks reports. Serve Robotics had a negative return on equity of 38.54% and a negative net margin of 3,821.98%.The firm had revenue of $2.98 million during the quarter, compared to analysts’ expectations of $2.83 million.

Here are the key takeaways from Serve Robotics’ conference call:

Q1 revenue nearly $3 million, up ~7x year‑over‑year and ~3.5x sequentially, and management reiterated it is on track to meet its $26 million 2026 revenue guidance.
Revenue mix is shifting toward higher‑margin streams — fleet revenue was about $2M and software services roughly $1M, with software contributing positive gross margins and ~1/3 of Q1 revenue coming from software services.
Operational scale and safety: the combined footprint is nearly 2,000 robots deployed across 44 cities (14 states), with >800 daily active robots and >10,000 daily supply hours, and the company reports no incidents causing serious injury.
Financials remain loss‑heavy: Q1 gross loss was ~ $90M (gross margin -302%), GAAP net loss $49M (non‑GAAP $38M), and management expects ~ $160–$170M non‑GAAP operating expenses for 2026, though the company ended Q1 with $197.4M of cash and marketable securities.

Serve Robotics Stock Down 3.5%

Shares of NASDAQ SERV traded down $0.32 during mid-day trading on Friday, reaching $8.77. 5,537,114 shares of the company were exchanged, compared to its average volume of 4,885,194. The stock has a market cap of $678.14 million, a price-to-earnings ratio of -5.52 and a beta of 0.96. Serve Robotics has a 1 year low of $6.60 and a 1 year high of $18.64. The firm has a 50-day moving average of $9.25 and a 200 day moving average of $10.68.

Trending Headlines about Serve Robotics

Here are the key news stories impacting Serve Robotics this week:

Positive Sentiment: Serve reported first-quarter revenue of $2.98 million, well above estimates, with revenue up 578% year over year and 238% sequentially, showing rapid top-line growth. Serve Robotics Announces First Quarter 2026 Results with 3X Sequential Revenue Growth
Positive Sentiment: The company raised optimism around its long-term addressable market, citing physical AI and autonomous delivery upside, which may support the investment thesis. Serve Robotics points to its physical AI, autonomous delivery upside
Positive Sentiment: Serve’s expanding operating footprint and new vertical exposure from the Diligent Robotics acquisition could improve growth prospects over time. Serve Robotics Announces First Quarter 2026 Results with 3X Sequential Revenue Growth
Positive Sentiment: Analyst sentiment improved after the report, with LADENBURG THALM/SH upgrading Serve Robotics to “strong-buy.” Zacks.com
Neutral Sentiment: Vancouver approved a 6-month delivery robot pilot program, which is supportive of industry adoption but is not a direct financial catalyst yet. Vancouver approves 6-month delivery robot pilot program
Neutral Sentiment: Coverage around delivery robots expanding in cities like Vancouver and Los Angeles suggests broader market acceptance, but the impact on SERV’s near-term earnings is uncertain. No tip required: food-delivery robots to roll on Vancouver sidewalks
Negative Sentiment: Despite strong revenue growth, Serve posted a Q1 loss of $0.65 per share, wider than a year ago and below expectations, highlighting continued profitability pressure. Serve Robotics Inc. (SERV) Reports Q1 Loss, Beats Revenue Estimates
Negative Sentiment: Management’s FY 2026 revenue guidance of about $26 million only slightly topped consensus, suggesting investors may still be waiting for a bigger upside surprise. Serve Robotics stock page
Negative Sentiment: The company continues to report very weak margins and negative return on equity, reinforcing concerns that scaling the business remains expensive. Serve Robotics stock page

Insider Buying and Selling

In related news, COO Touraj Parang sold 3,861 shares of the company’s stock in a transaction on Wednesday, April 8th. The stock was sold at an average price of $8.62, for a total transaction of $33,281.82. Following the completion of the sale, the chief operating officer directly owned 1,312,344 shares in the company, valued at $11,312,405.28. This represents a 0.29% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Ali Kashani sold 14,541 shares of the company’s stock in a transaction on Wednesday, April 8th. The stock was sold at an average price of $8.62, for a total value of $125,343.42. Following the sale, the chief executive officer owned 3,320,373 shares of the company’s stock, valued at $28,621,615.26. This trade represents a 0.44% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 61,978 shares of company stock worth $586,826 in the last three months. 5.00% of the stock is owned by insiders.

Institutional Investors Weigh In On Serve Robotics

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. First Trust Advisors LP purchased a new stake in Serve Robotics in the third quarter valued at about $8,840,000. Vanguard Group Inc. raised its stake in Serve Robotics by 25.2% in the third quarter. Vanguard Group Inc. now owns 2,594,869 shares of the company’s stock valued at $30,178,000 after buying an additional 521,945 shares during the last quarter. Creek Drive Management Group LLC purchased a new stake in Serve Robotics in the fourth quarter valued at about $4,912,000. Geode Capital Management LLC raised its stake in Serve Robotics by 29.1% in the fourth quarter. Geode Capital Management LLC now owns 1,457,965 shares of the company’s stock valued at $15,137,000 after buying an additional 328,405 shares during the last quarter. Finally, State Street Corp raised its stake in Serve Robotics by 29.5% in the fourth quarter. State Street Corp now owns 1,245,411 shares of the company’s stock valued at $12,927,000 after buying an additional 283,497 shares during the last quarter.

Analysts Set New Price Targets

Several equities research analysts have weighed in on the company. LADENBURG THALM/SH SH upgraded Serve Robotics to a “strong-buy” rating in a report on Wednesday. Weiss Ratings reiterated a “sell (d-)” rating on shares of Serve Robotics in a report on Friday, March 27th. Cantor Fitzgerald decreased their price objective on Serve Robotics from $17.00 to $16.00 and set an “overweight” rating for the company in a research note on Tuesday, March 17th. Finally, Guggenheim started coverage on Serve Robotics in a research note on Monday, April 20th. They set a “buy” rating and a $13.00 price objective for the company. Two analysts have rated the stock with a Strong Buy rating, six have issued a Buy rating and one has given a Sell rating to the stock. According to MarketBeat.com, Serve Robotics presently has an average rating of “Buy” and an average target price of $17.67.

View Our Latest Stock Analysis on SERV

About Serve Robotics

(Get Free Report)

Serve Robotics develops and operates autonomous sidewalk delivery robots designed to transform last-mile logistics for restaurants, retailers and grocery brands. By combining proprietary hardware, sensor suites and dispatch software, the company enables on-demand deliveries of food, beverages and consumer goods while minimizing reliance on traditional vehicle fleets.

The core Serve robot integrates four-wheeled mobility, LiDAR and vision cameras with AI-driven navigation algorithms to detect obstacles, traverse urban sidewalks and interact safely with pedestrians.