Why Recursion Pharmaceuticals, Inc. (RXRX) Went Down On Monday?

Insider Monkey
Yesterday

We recently published a list of Tech Firms Dominate Monday’s 10 Worst Performers. In this article, we are going to take a look at where Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX) stands against other tech firms that dominate Monday’s worst performers.

Wall Street’s main indices kicked off the trading week in the green territory, albeit with minimal gains, as investors stayed on the sidelines while continuing to digest President Donald Trump’s temporary tax reprieve on technology companies.

The S&P 500 recorded the highest gain, up 0.79 percent, while the Dow Jones came second at 0.78 percent. The tech-heavy Nasdaq was also up by 0.64 percent.

Meanwhile, 10 companies, predominantly in the technology sector, bucked a broader market optimism, booking modest declines during the session. In this article, let us explore Monday’s 10 worst performers and the reasons behind their gains.

To come up with the list, we only considered the stocks with $2 billion market capitalization and $5 million trading volume.

A pharmacist in a hospital pharmacy stands next to a row of various drug containers.

Recursion Pharmaceuticals, Inc. (NASDAQ:RXRX)

Recursion Pharmaceuticals dropped its share prices by 4.34 percent on Monday to close at $5.51 apiece as investors resorted to profit-taking following Friday’s surge while staying on the sidelines amid a muted wider market.

Last week, RXRX soared by 27.72 percent following the Food and Drug Administration’s (FDA) decision to replace the use of animals in testing drugs with Artificial Intelligence.

RXRX is a clinical-stage biotechnology company that uses AI in its discovery and development processes.

According to the FDA, the initiative was designed to replace animal testing with “more effective human-relevant methods” in the development of monoclonal antibody therapies and other drugs.

The move was not only expected to improve drug safety and expedite the evaluation process, but it could also result in lower research and development costs, thereby reducing drug prices for the end consumers.

According to the FDA, it will begin to encourage the inclusion of New Approach Methodologies (NAMs) data in investigational new drug applications.

Overall, RXRX ranks 3rd on our list of tech firms that dominate Monday’s worst performers. While we acknowledge the potential of RXRX as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than RXRX but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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