5 Best Healthcare Stocks to Buy According to Matthew Halbower’s Pentwater Capital Management

4. Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX)

Halbower’s Stake Value: $9.2 million
Percentage of Matthew Halbower’s 13F Portfolio: 0.07%

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) is a clinical-stage biotechnology company that industrializes drug discoveries by integrating technological innovations across biology and chemistry. Ranked 4th on the list of the 10 best healthcare stocks to buy according to Matthew Halbower’s Pentwater Capital Management, Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) has a market capitalization of $4.52 billion.

Matthew Halbower’s Pentwater Capital Management currently holds 252,500 shares of Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX), amounting to $9.21 million in worth and accounting for 0.07% of the fund’s portfolio. On August 13, the company released its quarterly earnings report, with reported earnings per share at -$0.31, missing estimates by -$0.07.

Out of the hedge funds being tracked by Insider Monkey, the  investment firm MIC Capital Partners is a leading shareholder in Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX), with over 1.38 million shares worth more than $50.69 billion.

In the Q2 2021 Investor Letter, Baron Discovery Fund highlighted a few stocks and Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) is one of them. Here is what the fund had to say:

“Recursion Pharmaceuticals, Inc. is a biotechnology company engaged in technology-enabled drug discovery. The company uses automated wet-lab infrastructure (actual biologic experimentation) with cell perturbations (multiple experiments done on the duplicate cells), and image capture to generate data at large scale. It also operates its own supercomputer (the “BioHive”) to drive “in-silico” (virtual, software-enabled) inferences based on its data and wet-lab experiments. This combined approach has generated a strong pipeline of programs spanning early discovery to clinical trials, including a collaboration deal with Bayer. The company’s use of artificial intelligence and machine learning lowers the cost of drug discovery and speeds up time to market, and we believe this paradigm is in the early innings of disrupting the entire biopharmaceutical industry. Since Recursion’s program pipeline is still relatively early stage, we have started with a small investment.”