Is Recursion Pharmaceuticals (NASDAQ:RXRX) a buy in 2026?

Where RXRX is headed

Thirty-five percent of Recursion's float is sold short, and that number tells you everything about the tension inside this stock. On one side: a genuinely differentiated AI-native drug discovery platform with five clinical-stage programs, partnerships with Roche, Sanofi, Bayer, and Takeda, and a 681% revenue jump in 2025 driven largely by collaboration milestone payments. On the other: a company burning over $200 million a year, generating zero gross margin on its own products, and trading at $3.69 — barely above its 52-week low of $2.80. By late 2027, Recursion's story will be resolved in one of two directions. Either REC-4881 (familial adenomatous polyposis) and REC-1245 (biomarker-enriched solid tumors) will have posted Phase 2 data compelling enough to trigger partnership expansions or licensing deals, validating the thesis that AI can compress the drug discovery timeline from years to months — or the pipeline will have produced the kind of ambiguous, underpowered readouts that confirm skeptics' deepest fear: that AI drug discovery is better at generating press releases than clinical responses.