Recursion Pharmaceuticals (NASDAQ:RXRX) Announces Quarterly Earnings Results

Recursion Pharmaceuticals (NASDAQ:RXRX) announced its quarterly earnings results on Wednesday. The company reported ($0.21) EPS for the quarter, beating the consensus estimate of ($0.28) by $0.07, FiscalAI reports. Recursion Pharmaceuticals had a negative return on equity of 72.74% and a negative net margin of 1,637.81%.The business had revenue of $35.54 million during the quarter, compared to analysts’ expectations of $24.56 million. During the same quarter in the previous year, the business posted ($0.53) EPS. The firm’s quarterly revenue was up 671.7% compared to the same quarter last year.

Here are the key takeaways from Recursion Pharmaceuticals’ conference call:

• Recursion reported a positive clinical proof-of-concept for REC-4881 in FAP (median ~43% polyp burden reduction; ~75% responders) and plans initial FDA engagement in H1 2026, with 18+ cohort enrollment and dose-optimization underway.
• The company achieved a fifth milestone with Sanofi and has exceeded $500M in cumulative partner inflows (including ~$100M upfront and $34M in Sanofi milestones to date), which management cites as validation of platform repeatability.
• Management says its AI-enabled chemistry and integrated platform cuts discovery effort—synthesizing ~90% fewer compounds (?330 vs ~2,500) and shortening average time to candidate to ~17 months vs industry ~42 months.
• Financial discipline reduced pro forma operating expenses ~35% YoY, the company finished 2025 with $754M in cash, guided 2026 cash operating expenses $390M, and extended runway to early 2028.
• Material execution risk remains—many programs are preclinical or early-stage (notably PI3K and ENPP1) with several upcoming go/no-go and IND decisions (H2 2026); ultimate value depends on clinical validation and regulatory outcomes.

Recursion Pharmaceuticals Price Performance

RXRX stock traded up $0.41 during midday trading on Wednesday, reaching $3.94. 31,893,624 shares of the company’s stock traded hands, compared to its average volume of 21,584,855. The company has a 50-day simple moving average of $4.22 and a two-hundred day simple moving average of $4.72. The company has a quick ratio of 4.60, a current ratio of 4.60 and a debt-to-equity ratio of 0.01. Recursion Pharmaceuticals has a 1-year low of $2.98 and a 1-year high of $8.69. The company has a market cap of $2.05 billion, a price-to-earnings ratio of -2.19 and a beta of 0.95.

Insider Transactions at Recursion Pharmaceuticals

In other Recursion Pharmaceuticals news, Director Blake Borgeson sold 220,000 shares of the stock in a transaction dated Tuesday, February 3rd. The shares were sold at an average price of $4.20, for a total transaction of $924,000.00. Following the sale, the director owned 6,429,863 shares of the company’s stock, valued at $27,005,424.60. This represents a 3.31% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Najat Khan sold 124,403 shares of the firm’s stock in a transaction dated Monday, December 22nd. The shares were sold at an average price of $4.41, for a total transaction of $548,617.23. Following the completion of the sale, the insider owned 611,135 shares of the company’s stock, valued at $2,695,105.35. The trade was a 16.91% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 819,212 shares of company stock worth $3,523,950. Insiders own 8.43% of the company’s stock.

Institutional Investors Weigh In On Recursion Pharmaceuticals

Several institutional investors have recently modified their holdings of the business. NewEdge Advisors LLC raised its stake in shares of Recursion Pharmaceuticals by 28.1% during the second quarter. NewEdge Advisors LLC now owns 11,061 shares of the company’s stock worth $56,000 after buying an additional 2,428 shares during the last quarter. Quantbot Technologies LP acquired a new stake in Recursion Pharmaceuticals during the 3rd quarter worth $61,000. RPO LLC acquired a new position in shares of Recursion Pharmaceuticals in the 4th quarter valued at $62,000. Daiwa Securities Group Inc. lifted its stake in shares of Recursion Pharmaceuticals by 29.3% in the 2nd quarter. Daiwa Securities Group Inc. now owns 12,706 shares of the company’s stock valued at $64,000 after purchasing an additional 2,883 shares during the period. Finally, CIBC Asset Management Inc bought a new position in shares of Recursion Pharmaceuticals in the 4th quarter worth $65,000. Institutional investors and hedge funds own 89.06% of the company’s stock.

Analyst Ratings Changes

A number of research firms recently weighed in on RXRX. Weiss Ratings reissued a “sell (d-)” rating on shares of Recursion Pharmaceuticals in a research note on Thursday, January 22nd. JPMorgan Chase & Co. raised Recursion Pharmaceuticals from a “neutral” rating to an “overweight” rating and lifted their price objective for the company from $10.00 to $11.00 in a report on Wednesday, December 17th. UBS Group set a $11.00 target price on Recursion Pharmaceuticals in a report on Wednesday, December 17th. Finally, Morgan Stanley set a $11.00 target price on Recursion Pharmaceuticals in a research report on Wednesday, December 17th. Two research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Hold” and an average price target of $9.40.

About Recursion Pharmaceuticals

Recursion Pharmaceuticals, Inc (NASDAQ: RXRX) is a biopharmaceutical company that combines advanced automation, artificial intelligence and high-throughput biology to discover and develop novel therapeutics. The company’s proprietary platform integrates deep-learning algorithms with large-scale cellular imaging and chemical biology, enabling the rapid identification of potential drug candidates across a range of indications. By automating complex laboratory workflows and leveraging computational models, Recursion aims to accelerate the drug discovery process and expand the scope of targets that can be addressed.

At the core of Recursion’s offering is its digital biology platform, which captures billions of cell images under varying chemical and genetic perturbations.