It has been about a month since the last earnings report for Recursion Pharmaceuticals (RXRX Quick QuoteRXRX - Free Report) . Shares have added about 8.2% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Recursion Pharmaceuticals due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

RXRX Q2 Earnings Miss Estimates, Revenues Fall Y/Y

Recursion reported a loss of 25 cents per share in the second quarter of 2026, wider than the Zacks Consensus Estimate of a loss of 23 cents. The company had incurred a loss of 41 cents per share in the year-ago quarter.

In the absence of an approved product, Recursion primarily recognizes collaboration and grant revenues. Total revenues were $7.67 million, which declined 60% year over year and missed the Zacks Consensus Estimate of $14 million. Lower Roche collaboration revenues hurt the top line. The reduction followed the successful completion of certain project phases during the prior-year period.

RXRX’s Q2 Results in Detail

Operating revenues totaled $7.3 million in the second quarter, down 62% from $19.1 million in the year-ago quarter. Grant revenues rose significantly to $0.37 million from $0.12 million a year earlier.

Research and development expenses decreased 30% year over year to $89.6 million. The decline primarily reflected lower platform costs due to the timing of Tempus record purchases and improved operating efficiency. The reported quarter included $3.1 million in non-cash expenses related to the use of Tempus’ patient-centric multimodal oncology data compared with $22.7 million a year earlier.

General and administrative expenses declined 11% year over year to $41.5 million, primarily due to lower salary expenses following headcount reductions. Cost of revenues fell 43% to $11.5 million from $20.2 million in the prior-year quarter.

Recursion Pharmaceuticals had cash, cash equivalents and restricted cash of $556.8 million as of June 30, 2026, compared with $665.2 million as of March 31, 2026. Based on its current operating plan and without additional financing, RXRX expects its cash reserves to support operations into early 2028.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed a flat trend in estimates review.

The consensus estimate has shifted 6.51% due to these changes.

VGM Scores

At this time, Recursion Pharmaceuticals has a average Growth Score of C, a grade with the same score on the momentum front. However, the stock was allocated a grade of F on the value side, putting it in the fifth quintile for value investors.

Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Recursion Pharmaceuticals has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry Player

Recursion Pharmaceuticals belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, Moderna (MRNA Quick QuoteMRNA - Free Report) , has gained 176.4% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.

Moderna reported revenues of $145 million in the last reported quarter, representing a year-over-year change of +2.1%. EPS of -$1.97 for the same period compares with -$2.13 a year ago.

For the current quarter, Moderna is expected to post a loss of $1.36 per share, indicating a change of -166.7% from the year-ago quarter. The Zacks Consensus Estimate has changed +26.1% over the last 30 days.

Moderna has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.