Why Recursion Pharmaceuticals Stock Is Skyrocketing Today
Shares of Recursion Pharmaceuticals (NASDAQ: RXRX) were skyrocketing around 20% higher as of 11 a.m. ET on Friday. The big gain for the biotech stock came after the U.S. Food and Drug Administration (FDA) announced on Thursday that it plans to replace the use of animals in testing drugs with "more effective, human-relevant methods," including artificial intelligence (AI) models.
Recursion uses AI in its drug discovery and development processes. The company built one of the largest datasets in the biopharmaceutical industry with over 60 petabytes of data.
The FDA will initially focus on monoclonal antibodies with its initiative to replace animal testing and later expand to other types of drugs. How will the agency's move impact Recursion? It's too soon to know for sure.
Source Fool.com
