NVIDIA Co. NASDAQ:NVDA is the undisputed leader of the artificial intelligence (AI) revolution. The company envisioned the future of AI over 12 years ago and began executing the plan for domination. With such foresight and execution, investors pay close attention when NVIDIA sees an opportunity and invests their own money in promising AI companies.
Here are 2 computer and technology stocks that NVIDIA has invested in that could be of interest to your portfolio.
Recursion Pharmaceuticals: An AI-powered drug discovery powerhouse
Bringing a drug to market, from discovery to approval by the US FDA, can take up to 15 years, at a cost of $2.5 billion. The initial arduous task of drug discovery can take months to more than a year. Up to 90% of all drug candidates tend to fail in clinical trials after spending millions of dollars.
Recursion Pharmaceuticals Inc. NASDAQ:RXRX accelerates the drug discovery process by using AI, automated biology, and high-throughput screening and machine learning algorithms to identify and predict the efficacy of potential drug targets. NVIDIA has invested $50 million in Recursion to accelerate the development of its AI drug discovery models.
Recursion Data Universe Enables Millions of Weekly Wet Lab Experiments
Recursive Pharmaceuticals Today
Recursive Pharmaceuticals
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- $5.60
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$15.74
- Target price
- $9.25
Recursion’s massive proprietary chemical and biological database, called the Recursions Data Universe, spans more than 23 petabytes, including data on proteins, genes, and pathways associated with disease. Its recursion map is made up of hundreds of billions of searchable chemical and biological inferences that enable millions of wet lab experiments to be performed each week.
Recursion can assess potential drug failure much earlier in the process, saving millions of dollars and bringing drugs to market faster and more efficiently. Recursion has partnerships with Bayer and Roche Holding SA OTCMKTS: RHHBY.
Recursion has five treatments in clinical trials and hopes to increase that number to 10 with the acquisition of its rival for $688 million. Exscientia plc NASDAQ:EXAI. Exscientia has partnerships with Sanofi NASDAQ:SNY and Merck KGaA of Germany. New investors in Recursion stock will get both companies for the price of one. The merger is an entirely stock transaction.
Najat Khan, Director of R&D at Recursion Pharmaceutical, commented: “The combination of Recursion and Exscientia is extraordinarily complementary in terms of end-to-end use in discovery, from biology to chemistry. This allows you to make drugs better and faster, and that’s what we’re trying to do.
Serv Robotics: Delivering Takeout to a Neighborhood Near You
Serving robotics today
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- $1.77
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$24.09
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- $16.00
Food delivery is evolving from people to robots making deliveries. Serv Robotique Inc. NASDAQ:SERV develops and operates self-driving, AI-powered curbside delivery robots. They were spun off in 2021 from delivery service PostMates after being acquired by Uber Technologies Inc. NYSE:UBER. Uber is not only an investor but also a partner and a customer.
Serv Robotics has struck a deal with Uber Eats to deploy 2,000 AI-powered autonomous curbside delivery robots in 2025. Serv will not sell the Serve robots but will actually operate the fleet to make deliveries. Currently, Serve Robots only operates in Los Angeles, California, but is expected to begin shipping to Dallas, Texas. The company also announced an agreement with Shake Shack Inc. NYSE:SHAK for delivery services. NVIDIA invested $3.7 million in the company in the form of convertible notes in April 2024.
Evolution towards the third generation service robot in partnership with Wing Aviation
The third generation robots are equipped with the NVIDIA Jetson Orin module offering 5 times more calculation, Ouster Inc. NYSE: OUST improved sensors and LiDAR, larger cargo bins and softer suspension, improved water resistance and 40% faster emergency braking. The company also partners with autonomous drone delivery service Wing for longer distance deliveries over five miles. Service robots can hand off delivery to Wing flying drones to complete the delivery five to six miles away. Because drones fly in a straight line through the air, bypassing traffic, deliveries are much faster. Serve robots are amortized in one year or in operations.
Beyond delivery, robots operate inside the restaurant
Serve Robotics has acquired kitchen robotics company Vebu, which created the Autocado robot used by Chipotle Mexican Grill Inc. NYSE:CMG make guacamole. Chipotle produces more than 100 million pounds of guacamole per year. This acquisition brings Serv closer to being a one-stop shop for restaurant automation technology, providing restaurant and food delivery automation.
Full cost recovery for each robot within 12 months
Service robots make deliveries at a 99% completion rate in Los Angeles. Serve will have 250 robots by the end of 2024 and 2,000 robots deployed in 2025. Full cost recovery for each robot is expected to occur within 12 months. Serve also subcontracts the construction of its robots to Magna International Inc. NYSE:MGA.
Dr. Ali Kashani, CEO of Serve Robotics, commented: “Regarding our agreement with Uber Eats to deploy 2,000 robots by the end of 2025, we are ahead of schedule with manufacturing and deployment initials. We remain on track to deploy 2,000 new robots in multiple markets. next year.”
Kashani concludes: “Additionally, we announced the potential acquisition of Vebu, which brings us to a strategically adjacent service offering, and we have initiated partnerships with Wing Aviation and Shack Shak to expand our reach. Most importantly, we successfully raised $32.3 million in new capital to provide financial flexibility and fund our expansion plans.
Before you consider Recursion Pharmaceuticals, you’ll want to hear this.
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