RXRX Rises As Tempus AI Deal Locks In $42M

• RXRX surged 15.47% after restructuring Tempus data license through 2029 with $42M committed payments. • Tempus gained nonexclusive global license to Recursion's RNA model TxFM; RXRX shares rose 2.6%. • Recursion remains unprofitable but holds $545.7M cash, giving runway for its AI drug-discovery strategy. Recursion Pharmaceuticals Inc. (NASDAQ: RXRX) surged 15.47% on October 5, 2026, after restructuring its data-license deal with Tempus AI. The agreement now runs through November 2029, with economics shifted from up to $84 million in discretionary fees over two years to $42 million in committed payments over three years — giving Recursion more predictable, contracted revenue. Tempus also gained a new nonexclusive, worldwide license to Recursion's proprietary RNA foundation model, TxFM, extending the technology's reach. RXRX shares rose about 2.6% following the announcement. Recursion remains deeply unprofitable, with revenue of about $74.26 million, gross margin of just 2.9%, and profit margins near -950%; the latest quarterly net loss topped $131 million. However, the balance sheet is solid — roughly $545.7 million in cash versus $297.7 million in total liabilities, low debt-to-equity of 0.07, and a current ratio of 5.0 — giving the company runway to pursue its AI drug-discovery strategy. The stock has climbed steadily from the low $3s in mid-September to around $4.76, with recent Form 4 filings showing unspecified insider ownership changes. Traders see the Tempus deal as validating Recursion's platform model and are watching for continued momentum.