Recursion Pharmaceuticals (
RXRX) is building an AI-powered drug discovery platform, combining automated labs, machine vision, and computational chemistry into a single ecosystem called Recursion OS. Biotech is gradually shifting from accidental discovery to computational medicine, and Recursion sits at the front of that shift.
Financials
Q1 2026 results came out May 6. Loss per share was $0.22 versus the expected $0.26 to $0.27, beating consensus. Net loss came in at $117.5 million.
The quarter's main disappointment was revenue. The company posted $6.47 million against market expectations of $16.1 to $16.3 million, a miss of nearly 60%. This was the primary driver of the negative market reaction following the report.
Operating expenses dropped roughly 30% year over year. Cash and equivalents reached $665 million, giving the company a strong liquidity position without an immediate need to raise capital.
Pipeline
Five clinical programs are currently in development. REC-4881, targeting familial adenomatous polyposis, showed strong results in the TUPELO trial, and the company has begun discussing registrational trial design with the FDA. REC-1245 also showed good tolerability in early-stage trials.
On April 30, the company announced that co-founder and former CEO Chris Gibson will leave the board of directors in June 2026, remaining on as an advisor. Institutional interest remains strong. Goldman Sachs increased its position nearly 2.8x, and ARK Invest added another 260,000 shares on June 24.
Risks
Revenue remains volatile and heavily dependent on partnership agreements, and the company's long-term value hinges on clinical trial outcomes. Gibson's stock sales under a pre-established 10b5-1 plan are technically routine, but worth noting against the backdrop of his departure from the board.
Technicals
On the daily chart, price broke through the long-term downtrend that had capped the move since early 2026, and confirmed the breakout with a successful retest. The 3.04 to 3.35 zone serves as both a demand area and the retest zone of the broken trendline.
Price has reclaimed most short and medium-term moving averages, though the 200-day EMA and SMA remain the nearest resistance overhead. Volume on the latest session hit 22.9 million shares, well above the recent average, confirming buyer interest following the breakout.
MACD has turned up and triggered a buy signal. RSI sits in neutral territory, leaving room for further upside without overbought conditions. ADX shows the new trend is still forming, but DI+ already leads DI−, signaling the shift in momentum toward buyers.
First target sits at $5.24, with a breakout above the yearly high opening the path toward $7.18.
Recursion remains one of the more compelling names at the intersection of AI and biotech. A strong balance sheet, cost discipline, growing institutional interest, and a confirmed technical breakout build the case for a recovery. At the same time, weak revenue and the dependence on clinical outcomes make this a high-risk story, so position size should match the risk.
RXRX) is building an AI-powered drug discovery platform, combining automated labs, machine vision, and computational chemistry into a single ecosystem called Recursion OS. Biotech is gradually shifting from accidental discovery to computational medicine, and Recursion sits at the front of that shift.Financials
Q1 2026 results came out May 6. Loss per share was $0.22 versus the expected $0.26 to $0.27, beating consensus. Net loss came in at $117.5 million.
The quarter's main disappointment was revenue. The company posted $6.47 million against market expectations of $16.1 to $16.3 million, a miss of nearly 60%. This was the primary driver of the negative market reaction following the report.
Operating expenses dropped roughly 30% year over year. Cash and equivalents reached $665 million, giving the company a strong liquidity position without an immediate need to raise capital.
Pipeline
Five clinical programs are currently in development. REC-4881, targeting familial adenomatous polyposis, showed strong results in the TUPELO trial, and the company has begun discussing registrational trial design with the FDA. REC-1245 also showed good tolerability in early-stage trials.
On April 30, the company announced that co-founder and former CEO Chris Gibson will leave the board of directors in June 2026, remaining on as an advisor. Institutional interest remains strong. Goldman Sachs increased its position nearly 2.8x, and ARK Invest added another 260,000 shares on June 24.
Risks
Revenue remains volatile and heavily dependent on partnership agreements, and the company's long-term value hinges on clinical trial outcomes. Gibson's stock sales under a pre-established 10b5-1 plan are technically routine, but worth noting against the backdrop of his departure from the board.
Technicals
On the daily chart, price broke through the long-term downtrend that had capped the move since early 2026, and confirmed the breakout with a successful retest. The 3.04 to 3.35 zone serves as both a demand area and the retest zone of the broken trendline.
Price has reclaimed most short and medium-term moving averages, though the 200-day EMA and SMA remain the nearest resistance overhead. Volume on the latest session hit 22.9 million shares, well above the recent average, confirming buyer interest following the breakout.
MACD has turned up and triggered a buy signal. RSI sits in neutral territory, leaving room for further upside without overbought conditions. ADX shows the new trend is still forming, but DI+ already leads DI−, signaling the shift in momentum toward buyers.
First target sits at $5.24, with a breakout above the yearly high opening the path toward $7.18.
Recursion remains one of the more compelling names at the intersection of AI and biotech. A strong balance sheet, cost discipline, growing institutional interest, and a confirmed technical breakout build the case for a recovery. At the same time, weak revenue and the dependence on clinical outcomes make this a high-risk story, so position size should match the risk.
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Disclaimer
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Наш канал: t.me/totoshkatradingteam
⏺ Брокеры которым доверяю:
FxPro - ib-fxpro.com/?ib=SwHtc7m3
AMarkets - profit-market.info/promo/?g=BZA6ZC
⏺ Брокеры которым доверяю:
FxPro - ib-fxpro.com/?ib=SwHtc7m3
AMarkets - profit-market.info/promo/?g=BZA6ZC
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.