📌 RXRX – AI-First Drug Discovery Platform (NVIDIA x Palantir) (Updated 2025-07-06)
1️⃣ Company Snapshot
Recursion Pharmaceuticals builds an integrated wet-lab + AI platform (RecursionOS) backed by BioHive-2 supercomputer and NVIDIA GPUs. Goal: algorithmically discover & derisk novel compounds, then out-license or co-develop.
2️⃣ Fundamentals
| Metric |
FY-24 |
FY-25E |
Notes |
| Revenue |
$71 M |
$95 M |
Mostly collaboration + milestone |
| Cash Burn |
$(294 M) |
$(260 M) |
Reducing via NVIDIA partnership |
| Cash |
$1.0 B (post-2024 raise) |
n/a |
> 3 yrs runway |
NVIDIA invested $50 M + compute credits :contentReference[oaicite:4]{index=4}. PLTR provides Foundry pipelines.
3️⃣ Strategic Catalysts
- September 25 – GPCR oncology candidate Phase I data read-out.
- Additional pharma deals leveraging PALANTIR + NVIDIA stack.
- AI-biotech ETF inflows as sector rotates.
4️⃣ Trade Setup
- Current price ≈ $12.
- Accumulation band: $11–13.
- Long-term PT: $30–35 (18 mo) on success of 1-2 partnered assets.
- Option: Buy Jan 16 27 $25 LEAPS @ ≈ $1.60.
- Target LEAPS $5.00 on data; cut if stock < $8.
5️⃣ Risks
- Trial failure → gap-down > 50 % (use options for capped risk).
- Funding need beyond 2027 if no milestones.
- Competitive AI-drug platforms (Insilico, Benevolent).