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Recursion Pharmaceuticals (RXRX) Offers Encouraging Prospects After Setting 2026 Priorities

Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) is one of the 10 most shorted penny stocks to buy.

The stock offers a 100% upside potential at the prevailing level, as of April 23 closing, based on its 1-year median price target of $7. This supports a moderately bullish consensus sentiment, with 1 Buy rating and 2 Hold calls.

Copyright: dolgachov / 123RF Stock Photo

Recent developments also back the bullish views on the stock, which has seen a significant amount of short interest lately. On April 17, Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) made an appearance at the Needham Healthcare Conference, where CFO Ben Taylor shared details about the company’s priorities for 2026. The company has entered a phase featuring regular data readouts and partnership milestones following the merger and restructuring completed last year.

Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) has delivered proof-of-concept data on its FAP molecule, with four clinical programs advancing. Over $500 million came from Sanofi, with $60 million from Roche MAP milestones. The Roche deal surpassed $210 million in payouts, while every Sanofi project holds a total of $343 million in milestone possibilities.

There are promising clinical results, with FAP awaiting guidance, and CDK7 combination data to be released in the first half of next year. The company also looks forward to the upcoming results on MALT1 and RBM39, and LSD1 entering the clinic later in 2027. Taylor also reflected on cutting costs by 35% without compromising any projects last year, with the target of keeping costs below $390 million during 2026.

Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) is a clinical-stage biotechnology company involved in drug discovery and development. The company accomplishes this by combining technological advancements across automation, chemistry, data science, and engineering to industrialize drug discovery. Its therapeutic portfolio includes a number of different drugs, such as REC-4881 in phase 1b/2 of clinical trial, REC-3565 and REC-617 both in phase 1/2, REC-4539, REC-7735, and more.

While we acknowledge the risk and potential of RXRX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than RXRX and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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