Mar. 3 at 4:32 AM
$RXRX $NTLA $XNCR $JANX
Attached is page 1 of a Bank of America 12-page report issued 2/28/25 on entitled:
"4Q24 Earnings Wrap-up: Intellia, Xencor, Janux, Recursion"
In this post, I am focusing on RXRX for which Bank of America has a 'Neutral' rating and a
$10 price target.
Bank of America's primary statement regarding RXRX in the report is as follows:
"RXRX: positive trends after merger awaiting data updates
RXRX (Recursion Pharmaceuticals) shares are trading down -2.2% (NBI: +0.5%) after largely reaffirming the company’s direction after the merger with several clinical readouts over the next 12-18 months likely to cumulatively derisk Recursion’s AI drug discovery platform. We will look to the comprehensive update in May 2025e, which should provide a glimpse at how the integration after combination with Exscientia is going, especially as the company maintains the potential for over
$100M in synergies, the majority of which are expected to be achieved in 2025. We expect to see continued reductions in cash burn, with the potential for additional partnerships as upside. We reiterate our Neutral rating and
$10 PO on solid partnerships to date and a solid foundational platform awaiting validation from cumulative readouts in the clinic over the next 12 months. We update our model to reflect the potential for cash burn decrease with the merger and updated cash position."
