Bank of New York Mellon Corp Boosts Stake in Recursion Pharmaceuticals, Inc. $RXRX

Key Points

• Bank of New York Mellon increased its RXRX stake by 29.3% in the first quarter to 1.46 million shares, while institutional investors and hedge funds collectively own 89.06% of Recursion Pharmaceuticals.
• Recursion’s Q2 results missed expectations, with a $0.25 per-share loss and $7.67 million in revenue versus analysts’ estimates of $0.24 and $10.97 million, respectively. The stock opened at $3.17, near its 52-week low, amid continued concerns about valuation and profitability.
• Analyst sentiment remains mixed, resulting in an average “Hold” rating and an $8.10 consensus price target. Positive developments include Genentech advancing a neuroscience target and planned clinical progress for REC-7735 and REC-4881.

Bank of New York Mellon Corp raised its position in Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX - Free Report) by 29.3% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,462,631 shares of the company's stock after purchasing an additional 331,048 shares during the quarter. Bank of New York Mellon Corp owned 0.28% of Recursion Pharmaceuticals worth $4,490,000 as of its most recent SEC filing.

A number of other large investors also recently added to or reduced their stakes in RXRX. International Assets Investment Management LLC purchased a new position in Recursion Pharmaceuticals in the 4th quarter valued at approximately $31,000. Integral Investment Advisors Inc. purchased a new stake in shares of Recursion Pharmaceuticals during the first quarter worth $39,000. Sequoia Financial Advisors LLC purchased a new stake in shares of Recursion Pharmaceuticals during the fourth quarter worth $41,000. MQS Management LLC acquired a new stake in shares of Recursion Pharmaceuticals in the first quarter valued at $41,000. Finally, QRG Capital Management Inc. purchased a new position in Recursion Pharmaceuticals in the first quarter valued at $47,000. 89.06% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on RXRX shares. JPMorgan Chase & Co. cut their price target on Recursion Pharmaceuticals from $11.00 to $10.00 and set an "overweight" rating on the stock in a report on Thursday, April 30th. Needham & Company LLC reaffirmed a "buy" rating and issued a $8.00 target price on shares of Recursion Pharmaceuticals in a report on Thursday, May 7th. Morgan Stanley boosted their price target on shares of Recursion Pharmaceuticals from $5.00 to $5.50 and gave the stock an "equal weight" rating in a report on Thursday, May 14th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Recursion Pharmaceuticals in a research report on Friday, July 17th. Two analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Hold" and an average price target of $8.10.

Key Headlines Impacting Recursion Pharmaceuticals

Here are the key news stories impacting Recursion Pharmaceuticals this week:

• Positive Sentiment: Genentech collaboration advanced: Genentech moved the collaboration’s first neuroscience target into a joint early-discovery program. The milestone provides early validation that Recursion’s AI-enabled platform can identify novel, biologically supported drug targets. Recursion Reports Second Quarter Financial Results
• Positive Sentiment: Pipeline milestones remain on track: REC-7735 received IND clearance, with its Phase 1/2 ZINNIA trial for selected PIK3CA H1047R-mutant solid tumors expected to begin in the second half of 2026. The company also plans to present additional Phase 2 data for REC-4881 in familial adenomatous polyposis in November. Recursion Outlines 2026 Cash Operating Expense Guidance
• Neutral Sentiment: Spending outlook was reduced: Recursion outlined approximately $375 million in 2026 cash operating expenses, which could extend its cash runway, although the company remains heavily dependent on future clinical and partnership success rather than current product revenue. Recursion Outlines 2026 Cash Operating Expense Guidance
• Negative Sentiment: Q2 results missed expectations: The company reported a $0.25 per-share loss versus the roughly $0.23–$0.24 consensus estimate. Revenue fell to $7.67 million from $19.22 million a year earlier and was well below the approximately $10.97 million analyst estimate. Despite a narrower loss than last year, the revenue miss reinforces concerns about RXRX’s current valuation and ongoing operating losses. Recursion Pharmaceuticals Reports Q2 Loss
• Negative Sentiment: Valuation remains a concern: Commentary following the results characterized RXRX as expensive relative to its still-unprofitable business and long-term share-price decline. The mixed earnings update therefore offered limited fundamental support despite positive development news. Recursion Pharmaceuticals Stock Still Looks Expensive

Insider Activity at Recursion Pharmaceuticals

In other Recursion Pharmaceuticals news, CEO Najat Khan sold 23,588 shares of the stock in a transaction that occurred on Friday, June 5th. The stock was sold at an average price of $3.58, for a total transaction of $84,445.04. Following the completion of the sale, the chief executive officer directly owned 2,175,796 shares of the company's stock, valued at approximately $7,789,349.68. This trade represents a 1.07% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Blake Borgeson sold 40,000 shares of the stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $3.96, for a total value of $158,400.00. Following the sale, the director directly owned 6,218,287 shares of the company's stock, valued at approximately $24,624,416.52. This represents a 0.64% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 101,937 shares of company stock valued at $381,374. 6.65% of the stock is owned by company insiders.

Recursion Pharmaceuticals Trading Down 4.2%

NASDAQ RXRX opened at $3.17 on Thursday. The firm's fifty day moving average is $3.33 and its two-hundred day moving average is $3.47. Recursion Pharmaceuticals, Inc. has a one year low of $2.77 and a one year high of $7.18. The company has a debt-to-equity ratio of 0.01, a quick ratio of 5.47 and a current ratio of 5.47. The firm has a market cap of $1.68 billion, a PE ratio of -2.64 and a beta of 1.03.

Recursion Pharmaceuticals (NASDAQ:RXRX - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported ($0.25) earnings per share for the quarter, missing the consensus estimate of ($0.24) by ($0.01). Recursion Pharmaceuticals had a negative return on equity of 54.33% and a negative net margin of 842.95%.The business had revenue of $7.67 million for the quarter, compared to analyst estimates of $10.97 million. During the same quarter last year, the company posted ($0.41) EPS. Analysts expect that Recursion Pharmaceuticals, Inc. will post -0.9 earnings per share for the current year.

Recursion Pharmaceuticals Company Profile

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.

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This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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