Contineum, Disc Medicine, Recursion Advance Pipelines Ahead of Catalysts, Morgan Stanley Says
Contineum Therapeutics (CTNM), Disc Medicine (IRON), and Recursion Pharmaceuticals (RXRX) are making meaningful pipeline progress, with key clinical and regulatory catalysts ahead in 2026, Morgan Stanley said in a note Monday.Contineum had a solid Q2, with the company advancing PIPE-791 toward a potentially large idiopathic pulmonary fibrosis opportunity, backed by strong trial progress, better tolerability, additional chronic-pain potential, and enough cash to fund operations through mid-2029, the investment firm said.Morgan Stanley said Disc Medicine is seeing "very strong" demand for bitopertin, with its expanded access program launched ahead of a phase 3 trial readout expected in Q4. Management says demand is currently limited by operational bandwidth, not patient interest, according to the note.Recursion Pharmaceuticals is showing growing validation of its artificial intelligence drug-discovery platform, the firm said. The company cut its 2026 cash spending forecast to about $375 million from roughly $390 million, about 40% lower than 2024 levels, and reiterated runway into early 2028, the note said.Morgan Stanley raised its price targets for Contineum and Disc Medicine to $18 and $90, respectively, from $16 and $85, while lowering the price target for Recursion to $5.30 from $5.50.Price: $14.96, Change: $+0.77, Percent Change: +5.43%
