Recursion Pharmaceuticals
Recursion's Q2 2026, reported in early August, shows collaboration revenue falling to $7.67M from $19.22M a year earlier, about 36% below consensus, as the Roche and Genentech collaboration phases wind down. Net loss narrowed to $131.01M from $171.90M as R&D spending dropped to $89.61M, and $556.82M of cash now funds operations into early 2028 against trimmed full-year operating expense guidance below $375M. REC-1245 dose-escalation in the DAHLIA study continues with no efficacy data published yet; company guidance points to a second-half readout still pending. The direction is genuinely mixed - improving burn discipline against a real near-term revenue gap - which is why the score does not move.
Scenarios
Seven programs in trials is unparalleled pipeline density for this size. Exscientia merger created 30+ active programs with Roche/Bayer relationships. Single Phase 2 success re-rates entire company.
Drug discovery AI has credibility problem — multiple companies failed to translate AI candidates to clinical success. Revenue still from partnerships, cash burn continuous.
Key Factors to Watch
- ●REC-1245: target ID to IND in under 18 months — benchmark-setting; ENLYGHT Phase 1 now dosing
- ●5 programs with defined next-stage milestones; ClinTech applies AI to trial design itself
- ●Roche, Genentech, and Sanofi partnerships validate platform; $500M+ milestones earned
- ●Najat Khan as CEO (Jan 2026) — Roche/Genentech veteran, drug-development execution focus
- ●$665M cash runway into early 2028; partnership milestones are the principal revenue lever
Score History
| Date | Score | Direction | Note |
|---|---|---|---|
| 2026-03-08 | 7.6 | Positive | Score 7.5→7.6 (are 8→9, dr 2→3). External research cross-ref: entire platform is AI-driven (are up); >90% drug failure rate + program terminations (dr up) |
| 2026-03-08 | 7.5 | Positive | Initial assessment from batch 8 research |
Healthcare Peers
Last researched: 2026-09-12
This is research and analysis, not financial advice. Scores reflect AI impact potential, not investment recommendations.