Shares of Recursion Pharmaceuticals, Inc. (RXRX) plunged 5.15% in pre-market trading on Tuesday, following a series of downgrades and price target cuts from major Wall Street analysts. The biotech company, known for its AI-driven drug discovery platform, faced significant pressure as investors reacted to the bearish sentiment from financial experts.

The sell-off was primarily triggered by two notable price target reductions. Leerink Partners made a dramatic cut, lowering their target price for RXRX from $6 to $3, signaling a lack of confidence in the company's near-term prospects. Similarly, BofA Global Research adjusted their price objective downward, from $10 to $8, further contributing to the negative sentiment surrounding the stock. Adding to the pessimistic outlook, Bank of America Securities maintained a Hold rating on Recursion Pharmaceuticals, suggesting a cautious stance amid the company's strategic shifts and early-stage developments.

These analyst actions reflect growing concerns about Recursion Pharmaceuticals' ability to deliver on its promise of revolutionizing drug discovery through artificial intelligence. As the company navigates through its early-stage pipeline and attempts to prove the viability of its technology platform, investors appear to be reassessing the risks associated with the stock. The significant drop in share price underscores the challenges facing Recursion Pharmaceuticals as it strives to translate its innovative approach into tangible results in the highly competitive and complex pharmaceutical industry.